Govt to cap prices of 295 essential medicines

The interim government on Thursday decided to fix the prices of 295 essential medicines in Bangladesh, making it mandatory for all pharmaceutical companies to sell these drugs at government-determined rates.

The Advisory Council at its weekly meeting on Thursday approved guidelines on the National Essential Drugs List and Drug Price Determination aimed at making medicines more affordable and accessible for the general people.

Chief Adviser Professor Muhammad Yunus chaired the meeting at his office in the capital's Tejgaon area.

"Prices of 295 essential medicines will be fixed by the government, and all companies will have to comply with these rates. The decision will be implemented very soon," said Professor Dr Md Sayedur Rahman, Special Assistant to the Chief Adviser for the Ministry of Health and Family Welfare, while briefing reporters at the Foreign Service Academy after the meeting.

He said the list of essential medicines covers treatments for diseases affecting nearly 80 percent of the country's population. The historic National Drug Policy of 1982 had played a crucial role in making Bangladesh self-reliant in pharmaceuticals and improving access to medicines for common people, he said, adding, all medicines were under price control until 1994.  1994, out of roughly 350 medicines in the market, only 117 drugs were under price-control, the special assistant said, adding, this system remained unchanged for nearly 30 years, during which the number of non-controlled medicines expanded sharply. 

Noting that nearly two-thirds of total health expenditure in Bangladesh is spent on medicines, largely as out-of-pocket expenses, he said unlike many countries, Bangladesh does not have a national health insurance system, pharmaceutical benefit scheme, or Medicaid-type coverage. 

As a result, state intervention in drug pricing became essential to protect citizens from rising costs, Dr Sayedur Rahman said, adding, considering this concern of the people, the interim government took the initiative to formulate the guidelines on drug pricing.