Draft Drugs Rules change proposes immediate licence suspension for NSQ drugs

The Ministry of Health and Family Welfare has put out draft amendments to the Drugs Rules, 1945. A drug's manufacturing licence would be suspended at once when it is declared Not of Standard Quality (NSQ) in a critical test. Today a show-cause notice comes first. The draft, announced on 4 November 2026, invites objections for 30 days.
Syllabus: Prelims · Current Affairs & IR; GS2 · Statutory & Regulatory Bodies; GS2 · Government Policies
Why this matters for UPSC
GS2 health governance: drug regulation under the Drugs and Cosmetics Act, 1940. Prelims can ask about NSQ, spurious and adulterated drugs and the DTAB; Mains, speed versus fair hearing.
Why it matters
A patient who takes a tablet that releases too little medicine, or an injection that is not sterile, may get no relief or a fresh infection. At present a batch found substandard can stay with chemists while the regulator serves notice and waits for a reply. Under the proposal, production of that drug would stop while the maker finds and fixes what went wrong, and Central and State regulators would hear of the failure together. For a manufacturer, one failed sample could halt a product, so the change trades some of the hearing before action for faster protection of patients. The larger issue is trust in the medicines sold in India.
Prelims pointers
- The Drugs and Cosmetics Act, 1940 lets the Centre amend the Second Schedule of drug standards after consulting the DTAB and giving three months' notice in the Official Gazette.
- A misbranded drug is coloured or coated to hide damage, not labelled as prescribed, or carries a false claim; an adulterated drug contains filthy, toxic or unprescribed colouring substances.
- A spurious drug is made under another drug's name, imitates another drug, or names a fictitious manufacturer; a genuine, correctly labelled product can still be NSQ.
- The Act says the Centre shall constitute the DTAB but may constitute the DCC, which has two Central nominees and one nominee of each State Government.
- The Act's provisions creating the DTAB and the DCC do not apply to Ayurvedic, Siddha or Unani drugs.
- Under the Drugs Rules, 1945, a licensing authority may also order a licensee to stop manufacture and sale and have the stock destroyed before an Inspector.
Practise a UPSC-style question
With reference to the Drugs and Cosmetics Act, 1940, consider the following statements:
1. A drug prepared under insanitary conditions that may make it injurious to health is deemed misbranded.
2. A drug manufactured under a name that belongs to another drug is deemed spurious.
3. A drug that is not labelled in the prescribed manner is deemed misbranded.
Which of the statements given above is/are correct?
- (a) 1 and 2 only
- (b) 2 and 3 only
- (c) 1 and 3 only
- (d) 1, 2 and 3
Show the answer
Answer: (b) 2 and 3 only
Answer: (b) 2 and 3 only. Insanitary preparation makes a drug adulterated, not misbranded.
Statement 1: incorrect. The Drugs and Cosmetics Act, 1940 deems a drug prepared, packed or stored under insanitary conditions that may make it injurious to health adulterated.
Statement 2: correct. The Act deems a drug spurious if it is manufactured under a name that belongs to another drug.
Statement 3: correct. The Act deems a drug misbranded if it is not labelled in the prescribed manner.
Eliminate: statement 1 pins an adulteration ground on misbranding, so it is false. Out: (a), (c), (d).
Trap: Look-alike names. Misbranded, adulterated and spurious are three separate categories in the Act, and the question moves a ground from one to another.
Remember: misbranded is about labels and appearance, adulterated about contents and conditions, spurious about false identity.
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