3 city drug firms seek approval for price hikes

Three out of 22 drug producers based in Ho Chi Minh City have sought permission from the Department of Health to hike prices by up to 40 percent claiming increased manufacturing costs following last month’s devaluation of the dong.

A decision has yet to be made but Pham Khanh Long An, the Department’s deputy director, said any hike in the prices of some medicines will not have a serious impact they cost just around VND100 for a tablet.

On the other hand, he said, many of the firms import raw materials three to six months in advance and so are not yet affected.

Other drug suppliers who have contracts with major HCMC hospitals have yet to announce any price changes.

On February 11 the government devalued the dong by 7 percent against the US dollar.

The Department is meanwhile considering bringing some over-the-counter drugs meant for the flu, fever, and cough into the price stability program.

Under the program, the City will provide financial support to pharmaceutical companies that keep prices stable.

Tags: Vietnam Drug industry, Vietnam Drug prices