Bengaluru: In a major relief for thousands of low-income patients across Karnataka, the Karnataka High Court stayed the state government’s controversial order to shut down Janaushadhi Kendras operating within the premises of government hospitals.
The single-judge bench of Justice M.I. Arun passed the interim order while hearing a batch of 16 petitions challenging the state’s decision. The petitions argued that shutting down these generic medicine outlets would directly hit the poor, who depend on low-cost medicines provided through the Pradhan Mantri Bhartiya Janaushadhi Kendras.
Last month, the Karnataka government issued an order instructing all Janaushadhi Kendras located inside government hospital premises to be closed. The Health Department’s circular had already reached district health officers, and several kendras had shut their doors in compliance.
The government justified its decision claiming that under its new policy, doctors at government hospitals are barred from prescribing branded medicines that must be purchased outside. The government wants to ensure patients are not forced to buy medicines externally and instead rely solely on the free supply of drugs stocked by the hospitals themselves.
Officials argued that allowing Janaushadhi Kendras to run inside the hospital premises contradicted this policy. However, the decision triggered widespread backlash from the public, opposition parties and health rights activists alike.
Opposition leaders, including the BJP, strongly criticised the closure, calling it anti-poor and a betrayal of the very people who depend on generic medicines for affordable treatment. They pointed out that Janaushadhi Kendras supply quality generic medicines at prices 50 per cent to 90 per cent lower than market rates, a critical lifeline for daily-wage workers and economically weaker families.
In the petitions filed before the High Court, the petitioners argued that the government’s action was abrupt, arbitrary and against public interest. They pointed out that the decision was taken without consulting stakeholders, patients, or even the nodal agency — the Bureau of Pharma PSUs of India (BPPI) — which coordinates the scheme.
The petitioners also highlighted that shutting these stores within hospital campuses would force patients to buy costlier branded medicines from private chemists outside — defeating the entire purpose of the national scheme.
Hearing the arguments, Justice Arun observed that the issue involves the right of access to affordable healthcare. The bench questioned whether the closure of generic drug outlets, especially inside government hospitals that serve the poor, aligns with the larger public interest.
Issuing an interim stay, the court ordered that no Janaushadhi Kendra inside a government hospital should be shut down until further orders. The judge also said that the matter needs to be examined in detail before any final decision is made.
The government has now been asked to respond to the petitions and present its rationale in the next hearing. The court’s decision is being seen as a major setback for the Congress-led state government, which has already faced criticism over its handling of healthcare and welfare schemes in recent months.
The Janaushadhi scheme is one of the flagship central government programs designed to make affordable medicines available to all. Karnataka currently has hundreds of Janaushadhi Kendras, and around 31 more applications were under review when the state government issued orders halting new approvals as well.
Opposition leaders have now demanded that the government withdraw its order permanently and work with the Centre to expand the network of generic drug stores, especially in rural and semi-urban areas where out-of-pocket medical expenses continue to push poor families deeper into debt.
While the legal battle continues, the High Court’s interim order has ensured that for now, patients walking into Karnataka’s government hospitals can still access essential generic medicines without paying exorbitant prices.
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