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Russian pharmaceutical companies warn that they may stop producing some key medications

Source: Kommersant

Seven Russian pharmaceutical companies have informed the Industry and Trade Ministry (Minpromtorg) that they may stop production of more than 50 medicines on the government’s list of vital and key medications

The group of companies that sent the letter to Minpromtorg includes “Pharmstandard” (a major player in the Russian pharmaceuticals market), as well as companies like “Dal’khimfarm, “Ozon Pharm,” and “Biosintez,Kommersant reports, citing a copy of the appeal. 

The medications that these companies could refuse to produce include key drugs like paracetamol (used to treat pain and fever), glucose solution (used for IV therapy), the painkiller ibuprofen, and the allergy medication Dimedrol (an antihistamine).

The companies said that the cost of producing these drugs now exceeds the maximum permissible sale price. Moreover, due to the devaluation of the ruble and the COVID-19 pandemic, the price of imported ingredients for medicines has also gone up.

The pharmaceutical company “Biosintez” says it has already suspended production of some of the medicines on the government's list.

Minpromtorg has yet to comment on this development.

In 2019, the Health Ministry decided to change its procedure for purchasing vital and key medications, in order to prevent the maximum contract price of medicines from falling too low. The decision came after the set price for certain drugs dropped so much that suppliers often refused to bid in government procurement auctions. That year, auctions for the supply of insulin and the rabies vaccine faced disruptions most often.

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