APMGR asks Ponta for the elimination of blockages against differential calculation of clawback tax

V.B. (Translated by: www.silktrans.com)
Ziarul BURSA #English Section / 16 iunie 2014

The Association of Generic Medicine Producers (APMGR) asks premier Victor Ponta to involve directly in the elimination of the institutional blockages that prevent the introduction of clawback tax differential calculation, "a measure that if lacking, patients as well as the local pharmaceutical industry, made up exclusively of generic medicine producers, will suffer", according to a press release sent to the editorial office.

Thus, the APMGR president, Dragoş Damian, highlights in an open letter addressed to the Prime Minister: "During these days when, the Senate as well as the Chamber of Deputies discuss different bills related to the clawback tax, we address to you, Mr. Prime Minister, acting as the head of the government, as well as leader of the governmental coalition, in order to intervene and take the political decision to introduce the clawback tax differential calculation, that patients and the Romanian economy can benefit from".

APMGR "appreciates the Government efforts to identify the most suitable solutions for the necessities of the Romanian sanitary system", and emphasizes that a differential clawback tax adoption for the generic medicine producers is delayed "unjustifiably".

"The correction of the clawback tax calculation mechanism, that should reflect the price limitation imposed on the generic medicines as well as the higher impact that the current tax has, applied uniformly, on the generic medicine producers, is absolutely necessary. The generic medicine producers get to pay a higher and higher clawback tax, from one quarter to another, for the same values quarterly discounted from the FNUASS fund, due to the increase of the costs with expensive therapies", it is being shown in the press release.

The generic medicine producers appreciate among others that the clawback tax fiscal burden has become unsustainable and can lead only to the cut in generic medicine local production, with social and economic "calamitous" effects: many of the medicines with accessible prices (got under the profitability price) will disappear from the market, and the local industry will put off investments in development and will be forced to appeal to staff cut.

APMGR draws attention to the fact that a solution for the differential clawback tax introduction has already been identified at the end of the last year and was agreed by the Health Insurance Fund (CNAS) and accepted by the Ministry of Public Finance (MFP), as well as by the international financial bodies, as being neutral from the budgetary point of view. This solution is based on the introduction of a proportion of maximum 65% in the "p" percentage calculation from the clawback formula, in case of generic medicines. The solution of a proportion application of maximum 65% in the "p" percentage calculation from the clawback formula for the generic medicines is based on the price settlement current system for the generic medicines, that is limited to maximum 65% of the innovative medicine price.

"The APMGR member companies express their availability to discuss with the relevant authorities other proposals that aim at the average and long term implementation of some public policies that should point to the encouragement of generic medicine consumption, in order to increase access to quality medical treatments under budgetary efficiency conditions", concludes the press release.

(APMGR) is the voice of the main generic medicine producer companies in our country: Actavis, AC Helcor, B. Braun Pharmaceuticals, Biofarm, Dr. Reddy's, Desitin Pharma, Egis, Fresenius Kabi, Gedeon Richter, Glenmark Pharmaceuticals, Infomed Fluids, Krka, Labormed, Magistra CC, Medochemie, Sandoz, Terapia-Ranbaxy, Teva, Zentiva. APMGR is affiliated to the European Generic Medicines Association (EGA - European Generic Medicines Association), the representative organization of generic and biosimilar medicines producer industry in Europe.

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