(Source: Viet Nam Social Security)

The total value of 20 drug products in successful bids amounted to 935.99 billion VND, with the average winning price down 21.2 percent from the average prices of biddings last year, equal to 251.3 billion VND. These figures were the results of a pilot national-level auction held by the Vietnam Social Security (VSS) to select suppliers for medical drugs subject to national bidding in 2018.

Government Resolution 59/NQ-CP issued on July 7, 2016, assigned the VSS to organise national auctions of a number of medical drugs covered by health insurance. In line with the resolution, after receiving agreement of the Health Ministry on the drug list based on health facilities’ demand, within the fourth quarter of 2017, the VSS passed a plan to select supply bidders for five substances worth more than 1 trillion VND. Prices set in the plan reduced by between 5 and 15 percent compared to prices in successful bids in the previous 12-month period in cities and provinces. The Northern Centre for Medical Insurance Verification & Tertiary Care Payments was tasked with conducting the auction.

In November and December last year, the centre worked with related agencies to prepare for and run the auction in a transparent and fair manner. The total value of 20 products in successful bids hit 935.99 billion VND, with the average winning price falling 21.2 percent, equal to 251.3 billion VND, compared to 2017. Prices of patent drugs and generic drugs recorded respective decreases of 13.82 and 33.81 percent.

In its first time holding such an auction, the VSS was helped with the close coordination from the ministries of Planning and Investment, Health, and Finance, local health departments and medical facilities covered by health insurance. Winning bidders said they are committed to ensuring drug quality and supply capacity.

The outcomes of the auction will greatly help to ensure drug supply at reasonable prices for patients covered by health insurance.

The VSS has guided provincial social insurance agencies to take part in local-level auctions and worked with the Health Ministry’s examination board on bidder selection plans. Bidding results were posted on the VSS’s online portal. Through this work, the VSS has proven its role in pharmaceutical management, particularly in adjusting drug prices and addressing the shortcomings of previous auctions.

International Cooperation Department