The Sector Economy and Economic Policy Committee discussed the Draft Law on Medicine and Pharmaceutical Activity, introduced by the Deputy Health Minister, Tamar Gabunia for expedited consideration.

The Draft modifies the state policy on pharmaceutical products and creates the legal basis for price regulation, namely, the determination of the reference prices on pharmaceutical products. The term “referential price” is introduced to the Law; the Draft also establishes the commitment of sale within the reference price and at the same time, establishes the administrative liability for exceeding the reference prices.

“Regulation of price is purposed to ensure the reasonable and fair price paid by the patient or the third party within the existing budget resources. At the same time, it shall create the motivation for the business to invest since the influence of business in our economy, investments and employment is essential”.

As she added, the expected outcomes of the Draft are the reduced prices on pharmaceutical products as in compliance with the strategic development plan of the healthcare system for 2022-2030, which forecasts the reduction of the share of medicines from 62% (2020 as basic year) to 15% (target 2030). The respective changes are to be introduced to the Law on Control of the Entrepreneurial Activity; Law on Enforcement Proceedings; and the Tax Code.

The sitting was attended by the business circles. As the Committee presumed, certain issues in the Draft need to be further discussed and studied and thus, the Draft shall be considered in an ordinary mode instead of expedient. With this reservation, the Committee approved the Draft with the I reading.