Poland's Pharma Sector Restructuring Plans

The Polish government program for the restructuring of the national pharmaceutical industry is to start next year. It will provide for the lifting of all official prices on drugs and medicines, and will convert state-owned drug companies into private-sector companies - or as Polish terminology has it - "commercial law companies."

Deputy Industry Minister Edward Nowak has said that prices for drugs and medicines would rise in 1995 but at a pace slower than in 1994. He added that the program was needed to avoid a situation where foreign companies would push out Polish products from the drug market and then dictate high prices.

Mr Nowak noted that the average Pole spent the equivalent of $32 annually on medicines, and it is estimated that the overall current value of the Polish market for pharmaceuticals is between $1.0 million and $1.2 billion annually. There are 17 large pharmaceutical manufacturing plants in Poland, three vaccines plants, 14 cooperatives and over 100 small firms making drugs and related products.