The National Healthcare Security Administration (NHSA) has released a notification regarding provincial centralized procurement and pricing management. The document outlines several measures aimed at expanding the coverage of drugs in the volume-based procurement (VBP) program and preparing implementation measures for the eighth VBP round currently under preparation.
Standardizing VBP Agreement Renewal
The NHSA plans to standardize the VBP agreement renewal process, with Shanghai, Jiangsu, Henan, and Guangdong provinces taking the lead in carrying out allied procurement renewals. The focus will be on promoting fair and reasonable pricing and unifying the procurement cycle across the country. Drug varieties with high prices in previous VBP rounds will continue to see price reductions, while those with excessively low prices may be adjusted upwards as market conditions change.
Provincial Centralized Drug Procurement
The document emphasizes that provincial centralized drug procurement should focus on drug varieties not included in the national VBP and those that have not passed the quality consistency evaluation. The NHSA encourages volume-based pricing for varieties with sufficient price competition. By the end of 2023, each province is expected to centrally procure 450 national and provincial drugs, with 130 being centrally procured at the provincial level. This includes chemical drugs, traditional Chinese patent medicines and simple preparations, and biological drugs.
Medical Consumables VBP
In terms of promoting the medical consumables VBP, the document states that high-value medical consumables VBP should be carried out according to the principle of “one product, one policy.” The document addresses the issue of “VBP drugs” being difficult to buy, emphasizing the need to improve the accuracy of volume filing, strengthen the implementation of priority use of winning bids, and enhance the supply guarantee of winning bids.
Comprehensive Drug Price Control
The notice underlines the strict prevention of “face-changing” price increases and the traceability of key varieties to “the first rising provinces.” Additionally, the document specifies that special pricing treatment for dental implants shall be carried out.