Pharmaceutical companies may stop producing essential drugs

Due to the low maximum allowable prices the production of drugs on the VED list previously became unprofitable, and the devaluation of the ruble and the rise in imports in connection with COVID-19 has aggravated the situation. All of this can lead to the fact that pharmaceutical companies abandon production of cheap drugs, writes “Kommersant”. The risk paracetamol, diphenhydramine and ibuprofen.

About the possible termination of production of more than 50 international non-proprietary names included in the list of essential drugs, the Ministry of industry and trade said seven pharmaceutical companies. Among them — “dalkhimfarm”, “Ozone pharmaceuticals”, “Biosynthesis” and one of the largest players in the market of “Pharmstandard” Victor Haritonin. Business decision due to the low maximum price of these drugs and, as a consequence, the negative profitability of production.

So, the maximum price of the package of 20 paracetamol tablets in a dosage of 0.5 g produced “Biosynthesis”, to 10.1 RUB While the cost of production is at the level of 16.46 RUB, the appeal to the Ministry of industry and trade. The price of the packaging of 20 tablets of ibuprofen dosage 200 mg should not exceed 12,05 rubles, while production costs “Biosynthesis” 17.21 RUB the Situation is exacerbated by a falling ruble and distribution COVID-19, which increased the demand for imported substance, but also increased their cost, indicate market participants. So, the price of the substance ibuprofen increased from $22.3 to $28 per 1 kg and paracetamol — with a $4.7 to $5.8. The production of “Biosynthesis” of these drugs and a number of others suspended, the company said.

A new method of pricing of essential drugs, which their producers have to re-register prices to the end of 2020, adopted in 2019. It is assumed that the cost of the so-called innovative drugs should not exceed their rates in some other States, and the cost of analogues will be recorded as a reduction factor. In General, this approach is suited to the industry, while it has not added a rule that the new rates may not exceed existing. As a result, manufacturers need to re-register prices lower. The drugs cost below RUB 100 not subject to mandatory re-registration, but in essence, this means that the price they just will not change.

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