Govt to control price of medicine
Govt to control price of medicine
JAKARTA (JP): In anticipation of higher medicine prices the
government is planning to control prices for branded-generic and
patented medicines.
An official from the Ministry of Health, Sampurno, said on
Thursday that the price of branded-generic medicines can now
reach six times that of generic medicines.
Sampurno, the director general of Food and Drug Control, was
speaking to journalists after witnessing the signing of a
memorandum of understanding between the Indonesian Hospital
Association and pharmaceutical company PT Phapros Indonesia.
A director of Phapros, Bina Suhendra, said since the economic
crisis hit the country, "national (medicine) industries have
increased medicine prices between 100 to 200 percent."
In the MOU Phapros is to supply medicines to the Association's
1,000 member hospitals. Bina said the firm could supply
relatively cheaper medicines because of its association with a
distributor group.
Sampurno said the medicines to be controlled would only
comprise those considered essential such as antibiotics
ampicillin and amoxicillin.
The generic antibiotic ampicillin costs Rp 4,800 at Melawai
Apotik, while its branded-generic counterpart Kalpicillin costs
Rp 11,800.
Patented medicines will also be monitored by the government.
Registration for a product distribution license will have to
include the maximum retail price, Sampurno said.
"We will not control the price, but if there is a hike the
producers or importers will have to report to us," he said.
Pricing will depend on the kind of medicine and prices in
other countries. "It can not be higher priced than what is sold
abroad," he added. Prices of several types of medicine in
Indonesia are said to be higher compared to other countries.
The ruling on price control will likely be implemented between
July or August through a ministry instruction, Sampurno said. The
maximum penalty for failure to adhere to the ruling will be
revocation of a company's distribution license, he said.
Unethical promotional techniques used by pharmaceutical
companies could also result in the high price of medicines,
Sampurno said.
He cited companies giving bonuses in the form of gifts or
services for the doctors prescribing their products. (10)