Fujian centralized drug procurement puts wall between distributors and hospitals, GBI
Release Date: 2009-09-15
Fujian issued the `Implementation Plan for Centralized Drug Procurement for Medical Institutions' recently, to implement drug unified procurement, pricing, and distribution, according to China Pharmaceutical News September 15.
The document stipulates that all medical institutions should source drug products via an online procurement platform. With the exception of drugs having less than two manufacturers, all drugs must be procured through the open tendering process.
Previously, companies and distributors winning tenders required confirmation from medical institutions regarding formulary listing, creating an opportunity for influence and unfair practices. The new plan calls for provincial government authorities to confirm procurement with manufacturers on behalf of level-three hospitals, and groups of two to three prefecture level cities to do the same for level-one and level-two hospitals in order to disintermediate/prevent direct communication between manufacturers and hospitals.
Additionally, drug distribution fees are included in the tendering process and will be required to fall within the controlled range of 5%-8%. Drug manufacturers who charge fees in excess of this amount will be disqualified from participating in drug tendering for two rounds (three years).
| Type: | NORMAL |
| Company: | GBI |
| Country: | China |
| Url: | http://www.gbipharma.com/cpbheadline.asp?newsid=2010563 |