Open A Jan Aushadhi Kendra (Pharmacy/Drug Store) With The Pradhan Mantri Jan Aushadhi Yojana

By BankBazaar | August 14, 2018

The Government of India started the Pradhan Mantri Jan Aushadhi Yojana in an effort to provide quality generic medicines at affordable prices. Read to know more about its benefits to the citizens.

Healthcare is still a big concern in our country. Although most Indians living in urban areas are covered under their Health Insurance plan, a lot of people from rural areas don’t have access to good healthcare or cannot afford it.

Healthcare is a combination of infrastructure, resources and, most importantly, drugs. No, not those drugs! We are talking about medicines. And it is quite painful to know that a large number of our population cannot even afford basic treatments or do not have access to medicines.

So, here’s the dilemma. Most easily available branded medicines are expensive. So, the Government of India came up with a plan to provide equivalents to these medicines and make them more affordable for the underprivileged.

Additional Reading: Five Things You Must Know About Medical Loans

Now, these equivalents are known as “generic” medicines and have similar chemical compositions as against their well-marketed and branded counterparts.  Thus, the Pradhan Mantri Jan Aushadhi Yojana was started.

The aim of this yojana is “to bring down the healthcare budget of every citizen of India by providing quality generic medicines at affordable prices” in every state of the country. This way the poor and disadvantaged people have access to affordable generic medicines.

The Pharma Advisory Forum launched the Jan Aushadhi campaign all across the country and set up Pradhan Mantri Bhartiya Jan Aushadhi Kendras in various districts across the nation. Generic medicines are sold in these Kendras and are available for individuals and institutions to bid for at a profit margin.

So far 3,600 medical stores have been opened across the nation, 700 generic medicines available and 154 surgical consumables made available in these Kendras. Impressive isn’t it?

Let’s get into the details then. Ready?

Also Read: A Detailed Look At The Pradhan Mantri Awas Yojana

What Is The Role Of The Bureau Of Pharma PSUs (Public Sector Undertakings) Of India (BPPI)

For any new scheme to be a success, it is important that someone overlooks it and ensures it is implemented. Likewise, the BPPI plays the role of an implementation agency for the Pradhan Mantri Bhartiya Jan Aushadhi Kendras. Their key role is to:

  • Make quality generic medicines at cost effective prices
  • Market these generic medicines through the Kendras
  • Procure these medicines from central pharma PSUs and private sectors, and
  • Monitor the overall operations of these Kendras

Requirements To Open A Jan Aushadhia Kendra

Well, it isn’t half bad if you are considering the idea of opening a medical store/Kendra yourself. But as an individual, you need to have some pre-requisites – you can apply for opening a drug store/Kendra if:

  • You are a doctor
  • You are a registered medical practitioner
  • You possess a degree in B. Pharma / D. Pharma

Don’t get disappointed if you don’t meet any of the above criteria. You can still apply to open a Kendra if you employ a B. Pharma or D. Pharma degree holder. And you have plenty of opportunities to apply for such a pharmacy at the premises of a government hospital. However, preference may be given to NGOs or charitable organisations.

Additional Reading: The Ultimate Financial Planning Guide For Doctors

Other Requirements

Apart from the requirements mentioned above, the applicant will need a few more things at the time of application for a pharmacy/ Kendra.

  • Working space: The applicant needs to arrange for either a self-owned or hired working space which is a minimum of 120 square feet that has all legal documents such as a lease agreement or space allotment letter. The BPPI will not be making any such arrangements for the applicant.
  • Submit proofs: Additionally, the applicant will need to provide proof of securing a pharmacist with a name, registration with the State Council, etc.
  • Other documents: If the applicant is from an SC/ST or differently-abled background, then he/she must submit required certificates as proof from the respective authorities.

Profit Calculations, Financial Support And Other Margins

We’re sure that you are curious to know about the profitability of opening a Pradhan Mantri Bhartiya Jan Aushadhi Kendra (PMBJK). Here are the details:

  • Upon getting the operating agency of a medical store/Kendra you are provided 20% margin on the Maximum Retail Price (MRP) of each drug if you are a retailer and 10% if you are a distributer.
  • If your particular Kendra is linked to the software that is connected to the BPPI through the internet, then, you can get incentives of up to Rs. 2,50,000. This is calculated at 15% of your monthly sales with an upper limit of Rs. 10,000 per month.
  • The same ceiling limit is set at Rs. 15,000 for North-Eastern states, naxal-affected areas and tribal areas.
  • Differently-abled and SC/ST candidates who apply for a Kendra will be provided medicines worth Rs. 50,000 in advance.
  • Reimbursement of up to Rs. 1 lakh for furniture and fixtures
  • Reimbursement of up to Rs. 50,000 for purchase of computers, internet connection, printers, and scanners
  • Store owners and distributors will be allowed 2% of total sales or actual loss, whichever is lower as compensation against expired medicines. Moreover, these expired medicines will be considered as a loss of the BPPI and not the store owner or distributor.
  • All Jan Aushadhi stores will be given a credit facility of 30 days for post-dated cheques.

Application Procedure For A Jan Aushadhi Kendra

You can apply for a Jan Aushadhi Kendra by visiting their website http://janaushadhi.gov.in/ and click on the PMBJK registration link -http://janaushadhi.gov.in/online_registration.aspx. You can then download the application form and fill it up.

Once you fill it up you need to enclose the relevant self-attested documents and send it by post super scribed as “Application For The New PMBJP Kendra” to this address:

To,

The General Manager (Marketing & Sales)

Bureau Of Pharma Public Sector Undertakings Of India (BPPI)

8th Floor Videocon Tower,  Block E1,

Jhandewalan Extension, New Delhi – 110 055

Telephone Number: 011- 49431800

List Of Self-Attested Documents To Be Attached With The Application Form

Here is the complete list of documents to be provided at the time of application for a Jan Aushadhi Kendra.

Individual Institutions/NGO/Charitable Institute/Hospital, etc. Government/ Government Nominated Agency
Aadhaar Card Aadhaar Card Details of department which has allocated the space, along with supporting documents/sanction order
Pan Card Pan Card Pan Card
Certificate of SC/ST or physical disability (if applicable) Registration Certificate Aadhaar Card
Pharmacist Registration Certification Pharmacist Registration Certification Pharmacist Registration Certification

Note:  Submitting Aadhaar Card is mandatory. Applications without it will be rejected.

Additional Reading: Everything That Is Now Aadhaar-Linked

Other Contact Details

If you still have a few questions regarding the PMBJK, you can call up their customer care toll free number which is 1800-180-8080. And if you have any complaints you can e-mail them at

Now that you have all the information on how to open your own pharmacy, you should check out our Personal Loan options to start your business.

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2 thoughts on “Open A Jan Aushadhi Kendra (Pharmacy/Drug Store) With The Pradhan Mantri Jan Aushadhi Yojana

  1. B. S. Guru Prasad

    Hi,
    What is the expiry policy in jan aushada.
    They will take back the expired medicine.

    Reply

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