THE THIRD SCHEDULE
(See paragraph 10)
Specified maximum pre-tax return on sales turnover of manufacturers or importers of formulations :-

CATEGORY A :
Large units with turnover exceeding Rs. 6 Crores per annum :
(a) having no basic drug manufacturing activity nor any research activity ........eight per cent.
(b) having basic drug manufacturing activity at five per cent or more of the turnover but no research activity ........nine per cent.
(c) having basic drug manufacturing activity at five per cent or more of the turnover and engaged in approved research and development work related to new drugs ........ten per cent.

CATEGORY B :
Medium sized units with turnover between Rs. 1 Crore to Rs. 6 Crores per annum :
(a) having no basic drug manufacturing activity nor any research activity ........nine per cent.
(b) having basic drug manufacturing activity at five per cent or more of the turnover but no research activity ........ten per cent.
(c) having basic drug manufacturing activity at five per cent or more of the turnover and engaged in approved research and development work related to new drugs ........eleven per cent.

CATEGORY C:
Other units with turnover of less than 1 Crore per annum
(a) having only formulation activity ........twelve per cent.
(b) having basic drug manufacturing activity at five per cent or more of the turnover ........thirteen per cent.

sd/-
VINOD VAISH
Joint Secretary to the Government of India
(No. 5(4)/94-PI-II)

Definitions
Sales prices of Bulk Drugs
Bulk Drug Manufacturers
Calculation of Retail Price
Power to fix Formulation Prices
Power to Fix Ceiling Price
Power to recover Dues
Power to recover Overcharged Amt.
Issue of Price List
Power to Review
List of Price Controlled Drugs
• Application for Bulk Drug prices :
 Form I
• Information for non-Scheduled  Bulk Drugs : Form II
• Application for Formulation
Prices :        a) Form III                                                         b) Form IV                                                           c) Form V                                                             d) Form VI
The Third Schedule


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