Drug prices are too high to be squeezed out by more places. Drug enterprises with moisture are intensive and active in price reduction.

 Drug prices are too high to be squeezed out by more places. Drug enterprises with moisture are intensive and active in price reduction.

BEIJING, May 24, China New Network Client (CNN) reported that in April this year, centralized drug procurement was fully launched in 11 pilot cities. How about the implementation of centralized drug procurement in the past two months? Are domestic pharmaceutical companies affected by changes in market share? How will enterprises transform in the future?

Photographs by Xinhua reporter Zhang Tianfu

Full implementation of the 4+7 pilot project in the past two months has achieved or exceeded expectations.

I opened three boxes of entecavir dispersible tablets for hepatitis B in Zhongshan Hospital affiliated to Fudan University, totaling 52.08 yuan. Later, in Dongtai Peoples Hospital of Jiangsu Province, the same kind of medicine was purchased with a medical insurance card. The price of a box was 310.8 yuan.

Not long ago, a video claiming to be recorded by men in Dongtai City, Jiangsu Province, about 18 times the price difference between Shanghai and Jiangsu, caused controversy.

However, the price difference of the same drug is 18 times, the main reason is that Shanghai is a pilot city of 4 + 7 drug purchasing with quantity.

On January 1, this year, the General Office of the State Council issued the Pilot Program for the Centralized Procurement and Use of Drugs by the State Organization. As of March 19, 11 pilot cities have introduced implementation plans and supporting policies. On April 1, 11 pilot cities were fully launched.

According to the results of centralized recruitment and selection in the 4 + 7 pilot area, 25 drug varieties were selected. The average price of the selected drugs decreased by 52%, and the highest rate by 96%.

According to official data, as of 24 oclock on April 14, the total amount of 25 selected varieties purchased in 11 pilot areas reached 438 million pieces per unit, with a total amount of 533 million yuan, and 27.31% of the total agreed purchases were completed.

Taking the selected Entecavir dispersible tablets as an example, the price of the selected tablets was 17.36 yuan/box (28 tablets/box), a decrease of 93%. Compared with the original price of 175.68 yuan/box (7 tablets/box), the annual cost of medication will be reduced from about 9000 yuan to about 200 yuan, which greatly reduces the cost burden of hepatitis B patients.

Chen Jinfu, deputy director of the State Medical Insurance Bureau, previously used beyond expectation to evaluate the implementation of centralized drug procurement.

In addition, Chen Jinfu said that in the next step, the State Medical Insurance Bureau, together with relevant departments, will continue to do a good job in organizing and implementing the pilot work, and research and deployment to expand the pilot work.


Implementing Price-Limiting purchasing measures to squeeze out the moisture of drug prices

In addition to promoting purchasing with quantity, many regions also implement price-limited purchasing to squeeze out the moisture in the price of unqualified drugs.

For example, on May 14, Shaanxi Public Resources Trading Center issued the Notice on the Processing Results of Complaints Applying for Public Notification Period of Dynamic Adjustment of Drug Purchase by Sunshine through Consistency Assessment of Generic Pharmaceuticals.

According to the circular, drugs with consistency evaluation should be networked according to the lowest quotation, and those whose declared price is higher than the price of 4 + 7 netted products will not be netted for the time being.

On May 21, Zhejiang Pharmaceutical Equipment Purchasing Center also issued the Notice, deciding to reduce the online trading prices of products such as Tigeo Capsules from now on, and suspend the online trading qualification of products that do not agree to the price reduction. Among them, Tegio Capsules of Shandong New Age Pharmaceutical Co., Ltd. was suspended from online trading due to its disagreement with price reduction.

In addition, at the end of last year, 125 anti-cancer drugs from 60 pharmaceutical enterprises were suspended from online purchasing in Liaoning Province due to the failure of drug price reduction.

At the same time, the first imported generic drugs have been consistently evaluated, which seems to put pressure on domestic pharmaceutical companies.

According to media reports, Rosuvastatin produced by Sanders (China), a Swiss pharmaceutical giant of Novartis Group, has passed the consistency evaluation of generic drugs by the State Drug Administration. This is the first imported drug to pass the evaluation and is also regarded as a milestone in the Chinese market for imported generic drugs.

In the view of the industry, with the review of Sanders Rosuvastatin, in the subsequent 4 + 7 national collection, this variety will add a strong competitor, not excluding the future market pattern changes.

Information Picture Xinhua reporter Zhang Nizhao

Pharmaceutical enterprises intensely and actively apply for price reduction. The supply price of some medicines has been reduced by more than 70%.

At the national and local levels, while taking a series of measures, enterprises have recently lowered drug prices in order to obtain living space.

For example, on April 17, Zhejiang Pharmaceutical Equipment Purchasing Center issued a notice on lowering the price of pemetrexed disodium for injection.

The notice showed that the price reduction involved Pemetrexed disodium for injection and tenofovir dipyridamole fumarate tablets for Qilu Pharmaceutical Co., Ltd. and Pemetrexed disodium for injection for Dezhou Pharmaceutical Co., Ltd. to apply for price reduction on their own initiative.

In March this year, Shanghai Sunshine Pharmaceutical Purchasing Network also issued a notice that a number of 4 + 7 failed to choose medical insurance to pay lower prices for medicines.

Among them, the price of imatinib mesylate (Gleevec), the original anti-cancer drug developed by Novartis, the pharmaceutical giant, dropped to 7182 yuan per box.

In addition, Qilu Pharmaceutical (Hainan) Co., Ltd. reduced its gefitinib tablets to 498 yuan per box through consistency evaluation. It is noteworthy that this price is nearly 9% lower than the agreed purchase price of gefitini tablets (547 yuan per box) of competitor AstraZeneca.

Prior to this, Beijing Double Herons Pharmaceutical Co. Ltd. has also applied for lowering the price of medicines in Guangxi on its own initiative. As a negotiated generic drug, 10 mg Lenadomide capsules (anti-cancer drugs) were purchased at a price of 22,400 yuan per box, adjusted to 5,350 yuan, a drop of 76%.

Data Picture by Xinhua Fawei Liang

Will the industry shuffle? Pharmaceutical enterprises seek transformation to cope with market changes

Facing the changes of market environment, what kind of changes will Chinas pharmaceutical industry face?

Fu Gang, vice president of China Pharmaceutical Business Association and chairman of Baiyang Pharmaceutical Group, told CNN that 4+7 Drug Purchase with Volume would greatly reduce the price of generic drugs, and this large-scale price reduction has just begun, followed by more and more varieties and a wider range.

Before purchasing in quantity, many pharmaceutical companies, whether foreign or domestic, have gross profit margins. Sometimes a company develops a new drug and can recruit a marketing team of 2,000 or 3,000 people.

This is a very inefficient state, a variety of distributors in the middle, all kinds of marketing costs, the interests of all participants, are added to the cost of drugs, or ultimately by health insurance or the people to bear.

Nowadays, this abnormal phenomenon is changing. Pharmaceutical enterprises are also seeking transformation in the process of change.

For example, under the new market reform, Baiyang Pharmaceutical Group is building a pharmaceutical commercialization platform, which combines products of different enterprises and products across categories into an integrated solution.

Fugang said that commercialization is to let good products or technologies really enter the application scene, let patients use correctly, professional commercial platform enterprises, like highways, pharmaceutical products like a car, the more cars on the road, the lower the cost.

Fu Gang believes that purchasing with quantity will make room for the health insurance fund, reduce the price of generic drugs, kick out the magic drugs, and save the quota to pay for medication for serious illnesses, so as to really reduce the burden of medication for the common people.

At the same time, from 4 + 7 after the whole industry or will usher in a watershed, the commercialization of Chinas pharmaceutical industry will return to the high threshold state like developed countries, the era of everyone can sell drugs has passed.

Source: Responsible Editor of CNN: Zhang Xianchao_NN9310