National Basic Drug Retail Guiding Price Formally Carries Out

As an important part of China's health care reform, starting Thursday, the national basic drug retail guiding price formally carries out.

This price adjustment policy announced by The State Development and Reform Commission altogether involves 2,300 concrete dosage-form specifications and more than 3,000 drug manufacturers and distribution companies.

Among them, with the existing provisions of the price ratio, 45 percent of drug prices fell by about 12 percent on average. 49 percent didn't make adjustments and 6 percent of drugs prices increased due to the shortage.

The price cut covers most commonly used anti-biotic and anti- influenza drugs. A saleswoman in a drug store says they've started to carry out the new guiding policy.

"This anti-influenza drug used to be priced at 9.8 yuan, but now its price is 5.8 yuan. The price of another anti-influenza used to be more than 11 or 12 yuan, but now, it's much cheaper."

Many citizens likes this policy. One man says:

"This is a good thing. Salaried people can buy drugs with reasonable prices."

Among the 49 percent drugs without price cut, most of them are Chinese herbal medicines. Liu Weixiang, deputy general manager of Wuzhou Pharmacy Corporation in Guangxi Province says the price adjustment should consider the development of traditional Chinese herbal medicine industry.

"In terms of boosting the Chinese herbal medicine industry, I hope the government can consider a company's investment on R&D and manufacture. This may bring better prospect for the consecutive development of the industry."

According to the regulation, all the medical and health care organizations and retailer may set drug prices below the national basic drug retail guiding price based on the supply and demand situation.

At the same time, they will be fined up to 1,000 yuan once they are found selling basic drugs at virtual high price. Repeated violators' licenses will be revoked.