Russian government to force foreign drugmakers to reduce prices for local market

Russian and foreign drugmakers operating in the local market, will be obliged to reduce prices of drugs, which have a status of vital and essential in Russia if prices for these drugs have declined in the country of origin or in a number of countries abroad, according to the latest initiative of the Russian government, which has already received preliminary approval from the Russian Parliament (State Duma), reports The Pharma letter’s local correspondent.

Starting from the current year, the list of vital and essential drugs in Russia includes 735 drugs, annual sales of which are equivalent to 700 billion roubles ($10.58 billion) - or 49% of the entire Russian pharmaceutical market). This segment remains one of the most profitable for drugmakers operating in Russia.

In the case of vital drugs, the main channel for their sales is public procurements.