China implements further drug prices cuts, reducing 82 medicines by 14%

China will lower the retail price ceiling of 82 pharmaceutical products drugs by an average 14% in a move to reduce people's medical bills, the top economic planner announced last Friday, reports the Xinhau news agency.

The price adjustment, the second cut this year, will come into effect on September 1, the National Development and Reform Commission (NDRC) said in a web site posting. The regulation aims to maintain the production and supply of cheap drugs and ease the financial burden for families, according to the statement.

Prescription drug sales in China have more than doubled since 2006, making it the world’s third-largest pharmaceutical market, worth some $41 billion a year, according to IMS Health data. Wider health insurance coverage and higher incomes have improved people’s access to medical care, especially in cities including Shanghai and coastal provinces including Jiangsu and Guangdong, noted the Bloomberg news service. The government is trying to make medicines more affordable for everyone by encouraging competition among suppliers and favoring generics over brand-name treatments.