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Current issue #14, 2018

26.04.2018

Collisions likely to be generated by anti-US legislative initiative

The first reading of the bill ‘On Measures to Counteract Hostile Acts by the USA and/or Other Foreign States’ is to be held by the Russian State Duma on 15 May. The document was introduced by the leaders of all Duma groups. Clause 15 of the bill imposes ban or restrictions on importing to Russia of the drugs originating from the USA or countries supporting anti-Russian sanctions. When speaking on TV, Deputy Chairman of the State Duma Pyotr Tolstoy proposed using oak bark instead of US drugs.

[PharmVestnik # 14, 24/04/2018, p. 1, cont’d p. 5]

// Government Supported Programs

Pharma companies still interested in government subsidies

The Russian pharma industry has been dynamically developing over the past five years. To maintain the dynamics, not only new targets such as the Pharma-2030 Program but also supportive measures are required. Practice shows that government institutions have a lot to offer businesses. In turn, investors take a lively interest in subsidies and bidding preferences. At the same time, some aspects need a revision.

[PharmVestnik # 14, 24/04/2018, p. 2]

// Regulatory & Legal – General

Pharma to propose solutions for protection of patent rights

Until the Russians start using oak bark instead of US drugs as recommended by State Duma Deputy Pyotr Tolstoy, the issue of protection of patent rights to innovative pharmaceuticals remains pressing. This topic is discussed on a regular basis at authoritative forums. The 10th Scientific and Practical Conference ‘The State Regulation and Russian Pharmaceutical Industry’2018: Dialogue Continued’ held under the aegis of the Association of Russian Pharmaceutical Manufacturers and Association of International Pharmaceutical Manufacturers was not an exception.

[PharmVestnik # 14, 24/04/2018, p. 3]

// Military-Industrial Complex: Diversification

Experts and officials discussed diversification of military production

Foreign sanctions will not prevent diversification of the Russian military-industrial complex to increase the percentage of civilian industry products in its total output, the more so as the Ministry of Health has already developed the relevant programs and allocated specific funds to implement them. This was the focus of the agenda of the joint meeting of the Interagency Coordination Council of the Military-Industrial Commission Board for the Development of Medical Manufacturing at Military-Industrial Complex Institutions and the Expert Advisory Board for the Development of Biotechnologies, Pharmaceutical and Medical Industry, Innovations and Entrepreneurship held on 13 April at the Technopark of the Central Research Institute of Engineering Technology.

[PharmVestnik # 14, 24/04/2018, p. 3]

// Disease Management

A national cancer program yet to be developed

Media and the public have kept discussing the development of a national cancer management strategy since mid-November 2017. It was then that the 21st Russian Cancer Congress announced that a relevant document had been drafted and transferred to the Ministry of Health (MoH) to be reviewed. In January 2018, the developers stated that the document would be presented to the government soon. It was only after President Vladimir Putin emphasized the necessity of developing a national cancer program that the MoH started speaking on the topic.

[PharmVestnik # 14, 24/04/2018, p. 4]

// M&A

Kazan Apteki passed into the control of Aprel pharmacy chain

April witnessed a large-scale deal in the pharma retailing sector: Aprel pharmacy chain incorporated Kazan Apteki pharmacies. Differently from a traditional scheme when a stronger player acquires a weaker one, Aprel acquired a stable pharmacy chain, the largest one in its region, which sets a new vector for the pharmacy market consolidation.

[PharmVestnik # 14, 24/04/2018, p. 8]

// Health IT

Pharmacy aggregators have both supporters and opponents

By announcing the launch of a pharmacy project, Mail.ru had created some buzz in the public space. Comments from pharma have followed immediately — from utopic to deadly pessimistic.

[PharmVestnik # 14, 24/04/2018, p. 12]

// Drug Labeling

Drug manufacturers concerned about quality of integration of the regulator’s IT solutions

A year ago, when manufacturers just set to calculate the drug labeling costs, the investments associated with software and equipment were assessed at 3—5M RUB. Now, the costs keep going up to reach 8—10M RUB. At the same time, no effective and readily available controls have been provided for. Tracking charges and lack of detailed information may result in shifting to alternative systems.

[PharmVestnik # 14, 24/04/2018, p. 13]

// Health Management

Shortage of cancer drugs in Russia’s regions forces patients to mass migration

Colorectal cancer ranks third in terms of the incidence rate among all malignant tumors. A regular conference of the Russian Society of Clinical Oncology (RUSSCO) focused on disease prevention and treatment advances. One of the events was a press briefing where renowned oncologists spoke on drug coverage issues as well as presented unexpected findings of a study that puzzled the scientists themselves.

[PharmVestnik # 14, 24/04/2018, p. 15]

// Health Management

Drug coverage system and cancer drug access: prospects

Yury Krestinsky, Director of the Institute of Public Healthcare Development, and Elena Maksimkina, Head of the Department of Medicinal Products Provision and Regulation of Medical Devices Circulation, Russia’s Ministry of Health, discussed the main vector of the drug coverage system development as well as steps to improve cancer drug access.

[PharmVestnik # 14, 24/04/2018, p. 16]

// Pharma Manufacturing

Russian manufacturers interested in access to foreign markets

According to the participants of IPhEB Russia 2018 Pharma and Biotech Forum in St. Petersburg, the future Pharma-2030 Program may have two focus area, i.e. the development of API manufacturing and innovative drugs, including biomedical cell products.

[PharmVestnik # 14, 24/04/2018, p. 24]

// Cartels & Trust Practices

Court upholds the regulator’s opinion on anti-competitive agreement of Udmurt Ministry of Health

The 17th Arbitration Court of Appeals confirmed the soundness of findings of the territorial body of the Federal Antimonopoly Service Department for the Udmurt Republic in respect of the Ministry of Health signing an anti-competitive agreement in the sector of drug and medical devices supply for healthcare providers. If the judgment takes effect, the violators may be administratively liable. Meanwhile, the new regional governor announced the intent to totally redesign the approach to the state financial control in the field of pharmaceutical and medical procurement.

[PharmVestnik # 14, 24/04/2018, p. 24]

// Health IT

Drug coverage beneficiaries to track their treatment status

The pilot project ‘Blockchain-based monitoring of subsidized pharmaceuticals” was launched at the hematology unit of Novgorod Regional Clinical Hospital two weeks ahead of the schedule. This is a joint project of Vnesheconombank and the regional government.

[PharmVestnik # 14, 24/04/2018, p. 25]

// Pharma Distribution

Marketing unions go after Ural pharmacy chains

Pharmaceutical distributors play at good and bad investigators. On the one hand, they toughen the drug supply terms for pharmacy chains; on the other hand, they invite the latter to join marketing unions and promise support.

[PharmVestnik # 14, 24/04/2018, p. 25]

// Animal Health

Specifics of zoo pharmacy development in Russia

Back in the Soviet Union, there existed a centralized animal health product supply system. After the breakup of the USSR, favorable conditions for capturing vacant market niches have formed. Both foreign and local players emerged in the marketplace, but the latter were inexperienced with less competitive edge. As a result, predominantly imported products were selling in this segment.

[PharmVestnik # 14, 24/04/2018, p. 26]

// Health Funding

The state shoulders the bulk of capital spending in healthcare

According to the Monitoring of the Economic Status of Russia by the Russian Presidential Academy of National Economy and Public Administration, in 2014—2016, total investment in capital assets of the healthcare system in real terms decreased to 50.4% of the 2012 peak value. The heaviest decline was observed in the public funding sector. The dynamics of funding based on proprietary resources of healthcare providers demonstrated a much lower amplitude.

[PharmVestnik # 14, 24/04/2018, p. 28]

// Healthcare Providers

What hampers development of commercial services at public clinics?

Public prevention and treatment centers have opportunities to provide medical services and at the same time earn ready cash. However, far from every medical officer dreams of pursuing such opportunities and boosting the customer flow. When explaining the root cause, experts site a real-life case: a fee-based urinalysis at a public clinic requires filling in a 25-page agreement.

[PharmVestnik # 14, 24/04/2018, p. 29]

// Health Strategies & Programs

Healthcare needs fundamental changes to extend life expectancy

In his Address to the Federal Assembly, President Vladimir Putin touched upon healthcare issues. Health officials were challenged with an ambitious aim of having Russia join the 80+ Club, i.e. becoming a country with an average life expectancy exceeding 80 years. There is no one-size-fits-all formula for that yet; however, there is no time to wait for the regions that must provide for massive improvement in healthcare.

[PharmVestnik # 14, 24/04/2018, p. 30]

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