November 13, 2009
Morocco eyes changes to pricing of medicines
Posted on 12:14 AM by google
Medicines are too costly in Morocco, and the responsibility for setting prices must be removed from the Ministry of Health, according to a recently published parliamentary committee report.
To make medicines affordable, drug prices should be determined by a new government body, says the report, which was released on November 3rd. This body would consist of representatives from the Health Ministry, health insurance companies, professional bodies and the country's Council on Competitiveness.
The report's authors found that name-brand drugs usually cost more in Morocco than they do in other countries. Prices in Tunisia can be 30 to 189% lower than in Morocco, and France offers name-brand drugs at rates that are 20-70% lower.
Prices within Morocco for the same drug also fluctuate wildly, depending on which company brands it (a 600% difference) and where it is sold (a 300% difference).
Generic drugs, though cheaper than name-brand medicines, are also more expensive in Morocco than they are in Tunisia or France, according to the parliamentary report. Nevertheless, most Moroccans purchase the more expensive drugs, as these are the type most frequently prescribed by doctors.
Health Minister Yasmina Baddou acknowledged that the procedures for setting drug prices are outdated and need to be revised.
The parliamentary committee also recommends that AMO, one of Morocco's largest health insurance bodies, no longer reimburse customers for purchasing the most expensive drugs.
The committee, which has been researching the high price of medicines since last February, also argued strongly for the promotion of generic medicines to lower the rising cost of prescriptions.
MP Reda Benkhaldoun faulted the pharmaceutical industry and the procedures created by the Drug Price Regulation Authority for the high cost of medicine in Morocco.
Benkhaldoun called the issue "of the utmost importance, especially for people without health insurance who can't afford the medication to treat illnesses".
"Even those Moroccans lucky enough to be covered by the AMO and RAMED health insurance plans risk becoming unable to afford the cost of prescribed medications in the medium term," added the law-maker.
The head of the country's Pharmaceutical Industry Association, Ali Sedrati, said manufacturers are committed to lowering prices. However, "a number of measures need to be put in place to encourage the sector", he added.
"Seventy percent of the drugs sold in Morocco are manufactured locally," said Sedrati. "If we take action to boost consumption by improving access to treatment and compulsory health insurance, and if we lay down clear rules, prices will fall."
"If consumption doubles, prices will drop by 30%," claimed the industry official.
The parliamentary report also urges Moroccan policy-makers to look to Tunisia for a viable model on which to create a drug-pricing method.
"Tunisia has adopted a drug policy that has helped lower prices by relying primarily on a system for centralising purchases," the report states. It cites Tunisia's example of using centralised government bodies to negotiate "reasonable" prices by buying medications in bulk, and of encouraging suppliers to compete through tenders.
By Siham Ali for Magharebia in Rabat
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