Economy
Is the drug price debate clearing up?
According to daily Világgazdaság, the advertising of drugs would be controlled more sternly. A health market watchdog would also be set up, which would act in competition and pricing issues. The latter is the most sensitive area but its details are yet unknown.
Generic drugs would be subsidised, but how, we do not know. The most efficient way would be if subsidy rates were reshuffled, but this issue has not been touched upon so far.
The active substance would also have to be indicated on the side of the packages with as large letters as the name of the drug in order to allow doctors and consumers to know possible substitutes.
If a certain product of a drug producer is sold in larger quantities than foreseen, the producer would receive the part of the subsidy over the agreed limit, in line with a so-called volume agreement.
The proposal would also eliminate the doctors’ financial interest in prescribing more expensive drugs. There is no information though on how it would be achieved.
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Based on currently available information the Hungarian drug market cannot be reassessed properly. In terms of Richter and Egis, the impacts of a new regulation cannot be expressed in numbers.
The only thing the above news demonstrate is that something is happening, although talks a new pricing and subsidy system between the Health Fund (OEP) and drug producers began already in August 2003.
It is not in the government’s interest to speed up any kind of action concerning the drug price debate before EU parliamentary elections on 13 June. The government is, however, promising too much to consumers and sooner or later will have to cut back on sweet words.
Generic drugs would be subsidised, but how, we do not know. The most efficient way would be if subsidy rates were reshuffled, but this issue has not been touched upon so far.
The active substance would also have to be indicated on the side of the packages with as large letters as the name of the drug in order to allow doctors and consumers to know possible substitutes.
If a certain product of a drug producer is sold in larger quantities than foreseen, the producer would receive the part of the subsidy over the agreed limit, in line with a so-called volume agreement.
The proposal would also eliminate the doctors’ financial interest in prescribing more expensive drugs. There is no information though on how it would be achieved.
*** ***
Based on currently available information the Hungarian drug market cannot be reassessed properly. In terms of Richter and Egis, the impacts of a new regulation cannot be expressed in numbers.
The only thing the above news demonstrate is that something is happening, although talks a new pricing and subsidy system between the Health Fund (OEP) and drug producers began already in August 2003.
It is not in the government’s interest to speed up any kind of action concerning the drug price debate before EU parliamentary elections on 13 June. The government is, however, promising too much to consumers and sooner or later will have to cut back on sweet words.
