Medicine price caps ‘already in place’

TDT | Manama

Email: mail@newsofbahrain.com

Patients travelling to Saudi Arabia for cheaper medicine prices have driven a proposal in Parliament that the government says is already covered by caps on profit margins and routine checks on pharmacies.

In a written reply, the government said the aim of keeping medicine prices within reach was already dealt with under Bahrain’s existing rules on pricing, labelling and inspection.

It said the current system was meant to ease the strain on patients, keep medicine on shelves and preserve fair trade in the market.

The government said Legislative Decree No. 18 of 1997 gives the Supreme Council of Health the power to fix the highest profit allowed in the trade of medicines and pharmaceutical products.

Rate

That margin is worked out from the true cost shown in official invoices, with the rate falling as the price of the medicine rises.

It added that it remained committed to easing costs for citizens and making medicine easier to obtain, while keeping “balance in the pharmaceutical market” and ensuring a continued supply of high-quality drugs.

It said the rules were later reinforced by Decision No. 32 of 2020, which governs how medicines are registered, priced and displayed for sale.

Profit

Under that system, the highest profit margin for imported medicines is 35 per cent for drugs priced below BD20 and 25 per cent for those priced at BD20 or more. The import price is based on official CIF invoices.

Pharmacies must also display the approved retail price on each medicine or pharmaceutical item in Arabic and English.