Study Of New Drug Pricing Mechanism In China

Pharmaceutical innovation is both the embodiment of comprehensive national strength and a reliable guarantee for the health of the citizens.In the framework of a country,there's great practical significance on benefit to mankind,dealing with how to mobilize the power of society,how to accelerate the innovation system and mechanism to encourage innovation in the drug.The incentive mechanism for R & D of new drugs can be improved by adjusting drug prices.Since recent thirty years,new drugs' definition is adjusted gradually and more emphasis is focused on innovation of drugs.But the current definition makes emphasis on whether coming into the market or not,which is a severe drawback for the classification of new drugs.It can not distinguish intellectual property rights of our innovative medicines from"false Class A drugs"and"original research medicine abroad",resulting in troubles for sub-level classification and management.China's current drug pricing policy is applicable to all drugs.It adopts a simple cost-based pricing method,which takes manufacturing cost and R&D cost in consideration and neglects the difference between generic drugs and innovative drugs.Despite the latest introduction of a separate pricing,there is no way to differentiate the pricing method of new drugs from that of generic drugs.There is also no obvious distinction,between new drugs and generic drugs,on the proportion of transfer payments in the medical insurance system.The cost-based pricing method,as well as the low proportion of medicare reimbursement, undermines the innovative drugs' research to a certain extent.There' re many reasons behind this phenomenon,one of which is the lack of a pricing mechanism for new drugs,new drugs' value hasn' t been reflected in the price.New drugs in the United States take novelty as the evaluation of standards, and have quite several classifications.Drug prices are free-will-determined by the development enterprises,using a full-cost approach and pharmacoeconomics. Although the prices of new drugs are very expensive,individual patents pay little for drugs since the United States has a wide coverage of the medical insurance system.To solve the above problem,this paper addresses the following pricing method: (1)Increase the classification of new drugs on the scope of the existing drugs, and distinguish various types of new drugs and other drugs between the innovative drugs,the original drugs abroad,"false class A drugs";(2)In addition to manufacturing costs and R&D costs of enterprises,the cost of the failed investment in R&D should be also considered and reflected in drugs' price;(3) Reduce the financial pressure of individual patients by the transfer of medical insurance and increasement of the payment proportion in Medicare payment;(4) Adopt a full-cost-based and pharmacoeconomics-based pricing methodologyt.