Customs service blocks grey drug import
[PharmVestnik # 10, 28/03/2017, p. 1, cont’d p. 2]
Russian regions not ready to guarantee full beneficiary VED coverage
In late 2016, the Ministry of Health (MoH) in particular, and the government overall were criticized by patients, physicians, and pharmaceutical manufacturers in respect of supplementing the VED (Vital and Essential Drugs) list. The MoH Commission for List Drafting approved inclusion into the VED list is not used in practice as frequently as wished it to be. In particular, it is basically not used in full in outpatient care.
[PharmVestnik # 10, 28/03/2017, p. 4]
VED listing procedure for approved drugs finally determined
March 31st is the deadline for filing manufacturer applications for drug inclusion into VED, ONLS (Essential Drug Reimbursement Sub-Program), and other lists with the MoH Commission for List Drafting. At the end of 2017, the commission will draft amendments to appropriate lists, which looks like a routine process. However, the decision-making on entering 24 additional drugs into the VED list has been on hold since 2016. Pursuant to the latest protocol, the commission will take into account that these drugs have been approved. However, further clarifications came virtually at the last moment.
[PharmVestnik # 10, 28/03/2017, p. 5]
Pharma market entry of food retailers to affect not only pharmacies
The debates on the legislative initiative in respect of permitting drug sales at food stores has completely disappeared from the media scene, which does not mean that food retailers have dismissed the idea of going into pharmacy business. Most likely, they are calculating the opportunities of setting up a pharmacy chain of their own. At that, Х5 Retail Group is testing the space around check stands at their supermarkets, and Magnet may base themselves upon their own experience of developing a specialized store chain.
[PharmVestnik # 10, 28/03/2017, p. 6]
MoH approved a private-public partnership plan in healthcare
The Russian Ministry of Health Coordination Council for Private-Public Partnership held a meeting on private investment attraction tools for the healthcare infrastructure. Great expectations and hopes are connected with potential project participants. However, it looks like there will be no pharma companies among them once again.
[PharmVestnik # 10, 28/03/2017, p. 8]
Poor science
Development of local vaccine DNK-4 frozen
Scientists consider underfunding their source of major concern. Experts assert that there are hundreds of promising pilot projects put on the shelf that, if implemented, could have improved the healthcare situation not only in Russia but also worldwide. One only needs to dust off the fluff, and continue research. The only thing that lacks is money. However, the funding situation has improved over the past years, especially due to the Pharma-2020 program that made it possible for many researchers to make another step forward. Given an opportunity to progress continuously, without stops that sometimes take years, Russia will have all chances for a beachhead in healthcare, scientists insist.
[PharmVestnik # 10, 28/03/2017, p. 10]
Experts discussed Procurement Law
On March 16th, Moscow was the venue of the Corporate Procurement 2017 conference within the framework of which Federal Antimonopoly Service (FAS) officials together with experts explored practical application of Law No. 223 that regulates procurement of pharmaceuticals and medical devices. It turned out that this law required major amendments. Besides, not only the law but also FAS practice raised questions.
[PharmVestnik # 10, 28/03/2017, p. 13]
Radiopharmaceutical manufacturers need markets
“Excess of money and shortage of projects” – that was the way Russian Venture Company CEO Alexander Povalko described the situation in the Russian high-tech market. Mr. Povalko is one of the hosts of the 4th International Forum NDExpo-2017 “High-Tech Solutions for Sustainable Development”. Within the forum framework, debates were held on the National Technological Initiative development courses in the light of nuclear physics technologies used in medicine.
[PharmVestnik # 10, 28/03/2017, p. 13]
Patient community calls for development of a national cancer management program
The emergence of immune-oncologic agents 5 years ago was another landmark in malignant tumor treatment progress. Oncology experts note the efficacy of this drug group in skin melanoma, lung cancer, and kidney cancer treatment. Given the high cost of such agents, the issue of innovative drug affordability and availability for patients remains pressing. As a solution, among other things, it is proposed to turn around the VED commission, with at least 50% of the membership going to experts.
[PharmVestnik # 10, 28/03/2017, p. 16]
Russians started buying in drugs
At the beginning of this year, drugs sales in Russia went up by 20%. Experts believe that it is due to economic rather than medical reasons: the population has been buying in pharmaceuticals anticipating price hikes driven by potential ruble devaluation and other macroeconomic factors. Market players think such apprehension rightful as besides the Big Economy, new regulatory requirements may put additional pressure on drug prices.
[PharmVestnik # 10, 28/03/2017, p. 17]
Russian clinical trials market, 2016
The past year was reasonably good for the Russian clinical trials market, i.e. there were no major shakeups, and the regulatory environment was stable overall.
[PharmVestnik # 10, 28/03/2017, pp. 18-19]
Russian out-of-pocket supplement market, 2016
As of 2016, the out-of-pocket segment of the pharmaceutical retail market (pharmaceuticals, dietary supplements, and additional pharmacy product range) amounted to 1.04 trillion RUB, 7.2 % up year-on-year (y-on-y). The out-of-pocket supplement market totaled 43.6 bn RUB in the pharmacy procurement prices, 4% down y-on-y. In real terms, approx. 344 m supplement packages were sold, which demonstrates a 1% reduction y-on-y.
[PharmVestnik # 10, 28/03/2017, pp. 20-21]
API import to Russia, 2016
As of 2016, API imports to Russia totaled 11.6 thsd t worth 60.6 bn RUB (in prices of goods released for free circulation). The imports in real terms increased by 23% year-on-year, and the product range has expanded: in 2016, 749 API names were imported from 40 countries. The imports in value terms (RUB) grew by less than 3%.
[PharmVestnik # 10, 28/03/2017, pp. 22-24]
Russian distributors built up presence on Donbass market
In 2016, pharmaceutical exports to Ukraine via the Southern Customs Department customs doubled year-on-year. More than 4.4 thsd t pharmaceutical products totaling approx. 53.3 m USD were cleared through customs (to compare: 2.1 thsd t and 36 m USD, respectively, in 2015). Although a customs declaration does not provide for tracing the regions the goods are bound for, experts are unanimously of the opinion that Russian distributors favor Donetsk and Lugansk Republics’ market that has become vacant because of the economic embargo imposed by Kiev government.
[PharmVestnik # 10, 28/03/2017, p. 26]
Disputes on the three-stage system of preferences in government procurement go on
In mid-February, Geropharm Group announced their exit from the Association of Russian Pharmaceutical Manufacturers (ARPM). According to Geropharm Group CEO Pyotr Rodionov, the reason is the differences between Russian and foreign manufacturers on some key issues, including the strategic program Pharma-2020 implementation. The conflict was triggered off by the ARPM’s proposal to abandon the three-stage system of preferences for local manufacturers and use other types of preferences, e.g. prices, instead.
[PharmVestnik # 10, 28/03/2017, p. 27]
Mobile drugs
Up to 25% of pharmacy sales may go to web
At his meeting with Ekaterinburg pharmacists, ASNA Managing Partner Alexander Kondratyev said that the new procedure of distance selling of drugs would dramatically change the pharmaceutical retail market. According to ASNA, up to 25% of pharmacy sales will go to web. However, local pharma distributors and retailers doubt that.
[PharmVestnik # 10, 28/03/2017, p. 27]
