The National Allied Procurement Office has released a notification regarding the Round 8 of the national Volume-Based Procurement (VBP) tender program. According to the notice, the tender will be held in Hainan, with results to be released on March 29. A total of 40 drugs will participate in the price bidding, marking a significant step in the procurement process for essential medications.
Tender Rules and Conditions
The 7th VBP round tendering rules will remain in place for this round, with no new changes introduced. Tender-winning bids will be required to meet at least one of the following conditions: the bid must not exceed 1.8 times the lowest valid bid for that molecule/specification; the price cut offered must be greater than or equal to a 50% reduction from the ceiling price; or the unit comparable price must not exceed RMB 0.1. Winning manufacturers will select their main and spare supply regions based on the winning order, ensuring a strategic distribution of supplies.
Backup Supply Manufacturers
Unlike the previous round, some drugs will have second ‘backup’ supply manufacturers nominated. For tranexamic acid, valproate, nadroparin, enoxaparin, and furosemide, if there are at least three manufacturers winning one variety, the provincial healthcare security bureau will select a second spare supply company from the winning manufacturers after confirming the main and spare supply regions. This measure aims to enhance supply chain resilience and ensure the availability of critical drugs.
Supply and Pricing
Winning manufacturers can list their products directly online for supply at winning prices in the main and spare supply regions. The prices will not exceed 1.5 times the winning price or the highest winning price of the same variety in the second spare supply region. Additionally, prices in non-main/spare supply regions will also be capped at no more than 1.5 times the winning price or the highest winning price of the same variety, ensuring affordability and accessibility of the drugs.
Future Prospects
The Round 8 VBP tender program is a crucial initiative to secure the supply of essential drugs at competitive prices. By maintaining the established rules and introducing backup supply manufacturers, the National Allied Procurement Office aims to enhance the efficiency and reliability of the drug procurement process. This approach not only benefits healthcare providers and patients but also encourages manufacturers to offer competitive pricing and quality products.-Fineline Info & Tech
