~ Le Viêt Nam, aujourd'hui. ~
The Vietnam News

Year :      [2003]      [2002]      [2001]      [2000]      [1999]      [1998]      [1997]

Vietnam considers subsidies for essential drugs

HANOI - Vietnam's Ministry of Health has drawn up a list of 20 essential pharmaceutical products that need government intervention for stabilizing their prices. The tentative list contains drugs for certain common diseases, emergencies and diseases with high mortality rates.

The ministry said a fund will be set up from contributions by members of Vietnam Pharmaceuticals Corp to offer subsidies to sellers in case prices of these items increase. In case of sharp increases that go beyond the fund's capability, the association will define the amount of money it would provide. Drug prices have been rising relentlessly countrywide in the past two months. And increases of 5-100 percent have meant this has been the largest surge in the market for several years.

Insiders attribute the price rise to two factors, the depreciation of the dong against the euro and China's increase of raw material prices at the end of last year. Of the 4,500 foreign pharmaceutical products registered in Vietnam, about 1,000 enjoy monopoly status. In the past decade, pharmaceutical consumption per capita in the country has risen well over 10 times, from 30 US cents in 1990 to $5.40 in 2000 and $5.50 in 2001.

Asia Times - April 18, 2003.