Jan Aushadhi Kendras

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Jan Aushadhi Kendras

Context:

A recent study highlights that the government’s Jan Aushadhi Kendras have helped households in Assam and Rajasthan save 40% on medicines, significantly reducing out-of-pocket healthcare expenses. 

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Conducted by the Centre for Media Studies (CMS) and funded by Azim Premji University, the study surveyed 496 households across the two states, covering 331 PMBJP beneficiaries and 165 non-beneficiaries.

Key Findings of the Study

  • Socio-Economic Background: The majority of PMBJP beneficiaries belong to higher socio-economic classes (63% were from high Standard of Living Index (SLI) households). Over half of these households had at least one graduate family member, indicating a correlation between education, standard of living, and use of Jan Aushadhi medicines.
  • Health Conditions Addressed: The most common health issues for which PMBJP medicines were purchased were chronic diseases. Around 47.6% of households bought medicines for blood pressure, 40.5% for diabetes, and 26.8% for ulcers/gastric ailments. Additionally, 13.5% of households purchased cardiovascular medications.

Savings Reported by Households

  • On average, households purchasing medicines from Jan Aushadhi Kendras saved approximately ₹550 per month
  • Notably, one-fourth of these households reported savings of more than ₹1,000 per month, which constitutes about 3% of their household income. The savings were utilised for various purposes, such as:
    • Nutritious Food: 51% of households used their savings to purchase better food for family members.
    • Better Health Facilities: 25% spent their savings on healthcare and treatment.
    • Education: 14% used the savings to fund education.
    • House Maintenance/Assets: 6% invested in maintaining or improving their homes.
    • Other Purposes: 3% allocated savings to miscellaneous needs.

The Role of Jan Aushadhi Kendras

  • The PMBJP aims to provide generic medicines that are 50-80% cheaper than branded alternatives
  • These medicines, sold at Jan Aushadhi Kendras (drug stores), make essential medicines more accessible to economically disadvantaged families
  • However, the study found that the beneficiaries of these stores were not exclusively from low-income groups but also from middle and upper-middle-class families who sought affordable options for managing chronic conditions.

Impact on Socio-Economic Status

  • The Jan Aushadhi scheme has provided significant savings for middle-income households, helping reduce out-of-pocket expenditures, especially for chronic disease medications.
  • The scheme’s affordability has been particularly beneficial for families unable to afford branded medicines from general chemists.

Future Plans and Government Support

  • For fiscal year 2025-26, the Indian government has allocated ₹335.50 crore for the continued implementation of the Jan Aushadhi scheme. 
  • The government’s target is to open 25,000 Jan Aushadhi Kendras across India by March 2027, aiming to expand access to affordable healthcare nationwide.
  • Ravi Dadhich, CEO of the Pharmaceuticals and Medical Devices Bureau, noted that the middle-income groups have shown considerable interest in Jan Aushadhi medicines, reducing their out-of-pocket expenditures on chronic diseases. This reflects a growing trend towards the adoption of generic medicines as an effective, affordable alternative to expensive branded drugs.
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