Good health service 'doesn't always mean cheap medicine'

JAKARTA (JP): Minister of Health Achmad Suyudi disclosed here on Thursday that good health services for the people does not necessarily mean the availability of medicines at low prices but more the assurance of the availability of over-the-counter drugs.

Suyudi said that to set the prices of medicines was complicated since it was related to many aspects, ranging from procurement of the raw materials to the costs of production and distribution.

"We have to properly manage all aspects related to the prices of medicine so as not to hurt production of certain medicines, especially generic medicine, which is more affordable for the people," he told a discussion here.

The government had increased the prices of generic drugs by an average of 20 percent to help ensure the continuation of production by drug companies, which was severely affected by the plunge of the rupiah against the greenback. At that time the rupiah exchange rate reached Rp 11,000 to the U.S. dollar.

Director of pharmaceutical company PT Kimia Farma, Darodjatun, urged the government to keep drug prices within a fixed range determined by both the government and the industry so as not to squeeze the production of the medicines.

He said that despite the price increase at least 37 kinds of generic drugs had disappeared from the market.

"This disappearance is caused by three factors, namely mistakes in market surveys on the part of the producers, the lost economic value so that the products are no longer needed and the small budget, which forced medicine companies to stop their production.

"The important thing for the government is to stabilize the prices so that the medicines can still be readily available in the market," he told journalists on the sidelines of a weekly discussion.

The discussion was held by the Indonesian Pharmaceutical Watch aimed at examining drug prices in the country from all aspects, including the national health funding scheme, pharmaceutical research and production and drug distribution and promotion.

Suyudi also expressed concern over the limited scope of the government health funding scheme, which enables the poor to obtain affordable or even free medicines and the availability of adequate medical facilities such as health centers, clinics, hospitals and physicians.

Thursday's discussion also raised the possibility of inviting foreign companies to the generic medicine industry.

Suyudi said not a single regulation prohibits it, but head of the food and drugs control agency, Sampurno, underlined the importance of establishing a legal foundation for such a move.

Darodjatun welcomed the involvement of foreign companies but he believed that they would be reluctant to enter the market as the government sets the prices of generic medicine. (bby)