Post by account_disabled on Jan 24, 2024 22:34:34 GMT -8
There was a time when the price of medicines was set by the federal government. In fact, until the 90s of the 20th century, the Interministerial Price Council (CIP) set the prices of medicines based on the companies' cost table. This “regulatory” model had numerous flaws, starting with the asymmetry of information in relation to the functioning of the medicines market and above all the absence of a reliable database on the formation of the industry’s production costs. It was during the Collor government that this system was abandoned due to its inefficiencies.
The medicines market therefore followed the Buy Phone Number List government policy of deregulation of several other business sectors with a view to modernizing the country and its industrial park. During this period, the Secretariat for Economic Monitoring (SEAE) only monitored prices, without direct intervention or regulation. Since the federal government, through SEAE, identified a substantial increase in the price of medicines and that antitrust law was not sufficient to guarantee little price fluctuation, it was decided to regulate the price of medicines again, but now within a models established in international experience, including in some European countries.
In this sense, in 2001, within the scope of Anvisa, the Medicines Chamber (Camed) was created, which established a Parametric Medicine Price Adjustment Formula (FPR), that is, a mathematical formula for price adjustment, based , fundamentally, in the history of price evolution (EMP) and a parameterization of drug prices (IPM). In this regulatory model, essentially, the price would be controlled not based on a cost spreadsheet, as in past times – and unsuccessful ones, by the way – but based on company revenue and calculating an internal rate of return [ 1 ] . Then, in 2003, this formula was changed to incorporate the sector's productivity gains into the price of medicines, establishing a price cap (a price ceiling), calculated by the Medicines Market Regulation Chamber (CMED), as per provided for by Law 10742/2003, which replaced Camed.
The medicines market therefore followed the Buy Phone Number List government policy of deregulation of several other business sectors with a view to modernizing the country and its industrial park. During this period, the Secretariat for Economic Monitoring (SEAE) only monitored prices, without direct intervention or regulation. Since the federal government, through SEAE, identified a substantial increase in the price of medicines and that antitrust law was not sufficient to guarantee little price fluctuation, it was decided to regulate the price of medicines again, but now within a models established in international experience, including in some European countries.
In this sense, in 2001, within the scope of Anvisa, the Medicines Chamber (Camed) was created, which established a Parametric Medicine Price Adjustment Formula (FPR), that is, a mathematical formula for price adjustment, based , fundamentally, in the history of price evolution (EMP) and a parameterization of drug prices (IPM). In this regulatory model, essentially, the price would be controlled not based on a cost spreadsheet, as in past times – and unsuccessful ones, by the way – but based on company revenue and calculating an internal rate of return [ 1 ] . Then, in 2003, this formula was changed to incorporate the sector's productivity gains into the price of medicines, establishing a price cap (a price ceiling), calculated by the Medicines Market Regulation Chamber (CMED), as per provided for by Law 10742/2003, which replaced Camed.