19 foreign-funded pharmaceutical varieties were cancelled separate pricing rights

Source: Internet
Author: User
Keywords Foreign
Tags company cost demand development development and reform commission enterprises high import
Drugs to lift prices have been hit by multinational drug companies? 19 foreign medicine varieties were cancelled "individual pricing rights" Zhao yesterday, the National Development and Reform Commission issued a notice to reduce the number of antibiotics and circulatory system, which is mainly used to treat infections and cardiovascular diseases, and the highest retail price of drugs, involving 162 varieties and nearly 1300 dosage forms.  The adjusted price is 21% lower than the current stipulated price, which is expected to reduce the burden of nearly 10 billion yuan per year. Foreign drug companies are affected by the higher prices in this plan, there are 20 varieties by the National Development and Reform Commission to abolish the individual pricing power, which is the most affected by Pfizer, 4 products have lost the right to separate pricing.  In fact, almost all of the above 20 varieties are produced by foreign pharmaceutical companies, involving domestic manufacturers only one of Hisense Pharmaceutical. At the same time, there are 230 drug products, the national Development and Reform Commission for its maximum price adjustment, the adjustment reached 21%. "In fact, the process of reducing the price of drugs has been running through the company for two years and we are psychologically prepared for price reductions," he said. Therefore, we will not be surprised at this price reduction.  "The first financial daily," said one multinational pharmaceutical company.  In fact, after this price order was introduced, because of the products involved in separate pricing, the industry generally think its "spear" pointed to multinational pharmaceutical companies.  A national CPPCC member from the domestic pharmaceutical industry told the newspaper that one of the important reasons for the rise in China's drug prices is the drug prices of foreign pharmaceutical companies. "Before the 80 's, our drug prices were the lowest in the world, Sino-foreign joint ventures began to develop from the middle of the 80, the joint venture before 1996, the pricing method, mainly by the enterprise reference to import drugs themselves pricing, foreign drug prices are already high, coupled with high import tariffs, import medicine price than domestic medicine to much more expensive, Among them the import patent new drug in the protection period price is exorbitant.  The CPPCC member said.  At present, there are 1500 foreign pharmaceutical companies entering China, the world's top 20 multinational pharmaceutical companies have set up a joint venture in China, some also opened a wholly-owned enterprises, imported drugs, joint-venture drug market share has exceeded 50%, which is one of the important reasons for the expensive medical. Foreign-funded enterprises, even after the patent period, produced in China's varieties, Chinese enterprises to produce the same varieties of prices are only 40.13% of foreign-funded drug prices, and some even just about 10% of foreign-funded enterprises.  And this time for "separate pricing" product adjustment, is expected to further put the Chinese and foreign drug enterprise game balance.  In the future continue to reduce prices in batches however, the views of the domestic manufacturers, foreign-funded enterprises have not been recognized. Yesterday, China Foreign Investment Enterprises Association pharmaceutical Development and Development Industry Committee (RDPAC) an executive in the interview with the international comparison, China's generic drug factory prices for the international overall price level of the 22%~30%, based on its price as the benchmark to adjust the original research drug prices will inhibit the industry quality system cast, not conducive to the healthy development of China's pharmaceutical market and pharmaceutical industry.  For multinational pharmaceutical companies, because of their research and development of a new drug investment is basically more than 1 billion dollars, such a huge investment requires a high amount of medicine to pay back. In fact, the draft Regulation on drug price management issued last year makes it clear that "government-guided drugs, which have been marketed for sale, can be centrally adjusted by government price authorities every 2-3 years." Among them, the patent drugs and drugs treated according to patented drugs, 3 years for the cycle of adjustment, the downward range is generally not less than 6%; After the protection period, the rate of government guided prices down generally not less than 15%. "This shows that the original research on the stage price reduction has been inevitable, and foreign companies do not want to see a separate pricing system atrophy." "We know that price cuts are a big trend, not only in China but in the world," he said. It is because of this, many of the original research drug-oriented enterprises, has now turned to the field of generic medicine, the original research is more and more difficult.  "said one multinational pharmaceutical company. "In fact, the current market in the absolute number of cheap drugs, far more than the number of falsely high prices, but to the authorities that the impression is that there is a serious shortage of cheap drugs." Why? The root cause of the shortage of cheap drugs in the domestic drug market is that medical institutions and doctors are unwilling to use cheap drugs, thus making cheap drugs without market demand. Because there is no market demand, drug production enterprises are naturally unwilling to produce, distribution enterprises are not willing to distribution.  "A senior executive at a pharmaceutical company in Chongqing said to reporters.  Since 1997, the National Development and Reform Commission has 24 consecutive price reductions in government-priced drugs, but in practice, both outpatient and inpatient medical expenses have grown every year.  And in response to this price reduction, the national Development and Reform Commission concerned officials pointed out that the price adjustment has taken into account the cost of pharmaceutical production and market real transaction prices and other factors, and distinguish between different situations, highlighting the focus. The high cost of drugs on the day increased the strength of the price, low price or no price reduction of drugs on the daily cost, in order to reduce the burden of patients at the same time, to ensure that the price of relatively inexpensive drugs production and supply, the patent and other innovative drugs appropriate control price reduction, to encourage the development and innovation of drugs; the drug has been priced separately,  Further reduce the price difference between the drugs and the unified pricing, in order to maintain a fair competitive environment in the market. After the proposed price reduction plan announced, the National Development and Reform Commission will also in accordance with the established work plan phased reduction in other government pricing range of drug prices. Price adjustment will be based on the social average cost of drug production and management, and consider the factors such as market supply and demand.
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