Driven by the urge to ensure the availability and fair distribution of medicine within the country, the government through the Minister of Health has issued a decision which is aimed to achieve the stated goals by way of revising the price of generic medicine, and provide incentives for medicine producers.
Contained in the Minister of Health Decision No. HK.03.01/MENKES/146/I/2010 on Generic Medicine Price, the revised generic medicine prices are listed in the Attachment to the decision. Of the 453 types of generic medicines listed in the Attachment, 106 medicines prices were reduced, 33 prices were increased, and the remaining 314 types of generic medicine remain at the same price.
Similar to the previous decision on the same subject matter (No. 302/Menkes/SK/III/2008), these generic medicine prices are differentiated into two categories: (1) the ‘Net Chemist Price + Value Added Tax’ or ‘HNA PPN,’ and; (2) the ‘Maximum Retail Price’ or ‘HET.’
HNA PPN is the price that medicine companies and / or large pharmaceutical traders apply to sell medicines to the government, hospitals, pharmacy, and other health service providers. HET is the price that the government, hospitals, pharmacy, and other health service providers must use when selling medicines.
The key difference between this and the previous decisions is that this decision provides incentive to medicine companies and / or large pharmaceutical traders that distribute medicines to the government, hospitals, pharmacy, and other health service providers for the purpose of ensuring the availability and fair distribution of medicine in the country. The incentive takes in the form of having the right to increase the HNA PPN from 5 to 20 percents, depending on the areas that they will distribute.
The areas and the maximum percentages for each area are elaborated in Points 5 and 6 of the decision.
This decision repeals and replaces the Minister of Health Decision No. 302/Menkes/SK/III/2008 on Generic Medicine Price, and has been in force since 27 January 2010.
Driven by the urge to ensure the availability and fair distribution of medicine within the country, the government through the Minister of Health has issued a decision which is aimed to achieve the stated goals by way of revising the price of generic medicine, and provide incentives for medicine producers.
Contained in the Minister of Health Decision No. HK.03.01/MENKES/146/I/2010 on Generic Medicine Price, the revised generic medicine prices are listed in the Attachment to the decision. Of the 453 types of generic medicines listed in the Attachment, 106 medicines prices were reduced, 33 prices were increased, and the remaining 314 types of generic medicine remain at the same price.
Similar to the previous decision on the same subject matter (No. 302/Menkes/SK/III/2008), these generic medicine prices are differentiated into two categories: (1) the ‘Net Chemist Price + Value Added Tax’ or ‘HNA PPN,’ and; (2) the ‘Maximum Retail Price’ or ‘HET.’
HNA PPN is the price that medicine companies and / or large pharmaceutical traders apply to sell medicines to the government, hospitals, pharmacy, and other health service providers. HET is the price that the government, hospitals, pharmacy, and other health service providers must use when selling medicines.
The key difference between this and the previous decisions is that this decision provides incentive to medicine companies and / or large pharmaceutical traders that distribute medicines to the government, hospitals, pharmacy, and other health service providers for the purpose of ensuring the availability and fair distribution of medicine in the country. The incentive takes in the form of having the right to increase the HNA PPN from 5 to 20 percents, depending on the areas that they will distribute.
The areas and the maximum percentages for each area are elaborated in Points 5 and 6 of the decision.
This decision repeals and replaces the Minister of Health Decision No. 302/Menkes/SK/III/2008 on Generic Medicine Price, and has been in force since 27 January 2010.
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