Item 3, Clause 2 of the National Assembly’s Resolution No 68/2013/QH13 stipulates that “It is complusory for the completion of basic healthcare service packages covered by health insurance by 2018. They must be suitable with insurance costs and socio-economic conditions.”  Also, the resolution orders measures to ensure quality and reasonable drug prices and prevent unreasonable drug price differences among localities; calls for the expansion of the family doctor model covered by health insurance, and improving regulations related to referrals between health facilities relevant to the status of patients’ health.

The social security sector has played an active role in managing drug prices at the local level. (Illustrative Photo)

To complete this task, Viet Nam Social Security (VSS) has worked with various ministries and sectors to compile drug-related policies.

The VSS has actively collaborated with the Ministry of Health to develop Circular 11/2016/TT-BYT on bidding for drug supplies at public health facilities and Circular 09/2016/TT-BYT dated May 05, 2016 which regulates the list of drugs for procurement through bidding, drugs for concentrated procurement and drugs for procurement through price negotiation.

The drug bidding, procurement and use have followed regulations thanks to the completion of drug bidding policies, helping select and purchase quality drugs at reasonable prices and prevent drug price differences among localities as mentioned in Resolution No 68/2013/QH13.

The VSS has actively compiled lists of western and traditional medicines covered by health insurance funds and effectively engaged in drug bidding.

By the end of 2018, the VSS had mobilised more than 600 qualified officers to participate in 350 drug bidding councils at local health departments and facilities nationwide.

The VSS has updated average prices of bid-winning drugs on the sector’s portal every year, which serves as a reference for local authorities to plan bidder selection and negotiate prices after the results are announced.

Thanks to these solutions, the prices of many types of drugs have seen significant reductions. Among similar drugs that won bidding in 2017-18 period, 5,711 types of drugs had the same prices as the previous year.

The prices of 4,244 types of drugs decreased. The decease was estimated at VNĐ238 billion (US$10.4 million) compared to last year.

The prices of 2,218 types of drugs increased. The increase was estimated at VNĐ141 billion compared to the last year.

In particular, since 2017, the VSS has been assigned to pilot centralised bidding of drugs covered by health insurance which are not on the list of the health ministry, following the Government’s Resolution No 59/NQ-CP.

The first-time trial bidding was for drugs used in 2018 and with bidding results published since January 1, 2018. The total value of five active elements that won the bidding was VNĐ946.8 billion, decreasing 11 per cent compared to the planned price and 21.1 per cent compared to the average price of bid-winning drugs in 2017. The decrease equaled VNĐ117 billion and VNĐ252.92 billion, respectively.

The second-time trial bidding was for drugs used in 2019 and 2020 and with bidding results published since January 1, 2019. There were 26 types of drugs in the bidding, including 14 active elements. The total value of winning drugs was nearly VNĐ10.1 trillion, decreasing 22.4 per cent compared to the average price of bid-winning drugs in 2018 at localities. The decrease equaled more than VNĐ2.9 trillion.

The VSS has stepped up inspection on bidding and managing payment of drugs covered by health insurance, helping ensure that the procurement and use of drugs is effective and law-abiding./.