INVESTMENT ON PHARMACEUTICALS: THE VIEW OF MINISTRY OF HEALTH
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1 INVESTMENT ON PHARMACEUTICALS: THE VIEW OF MINISTRY OF HEALTH Dra. SRI INDRAWATY, Apt.,M.Kes. Director General of Pharmaceutical Service and Medical Device PRESENTED ON : EU-INDONESIA BUSSINESS DIALOGUE JAKARTA, 30 NOVEMBER 2010
2 TODAY S AGENDA I. INTRODUCTION II. III. IV. PHARMA : CURRENT SITUATION REGULATION ON PHARMA FUTURE PHARMA EXPECTATION V. CONCLUSION
3 I. INTRODUCTION
4 ACHIEVING THE MDGs MDGs Eradicate extreme poverty and hunge Achieve universal primary education Promote gender equality and empower women Reduce child mortality Improve maternal health Combat HIV/AIDS and other infectious diseases Ensure environment sustainability Develop global partnership for development MoH STRATEGIC PLANS Uplift the life expectancy year to 72,0 years Reduce the maternal mortality rate to 118 per live birth Reduce the infant mortality to 24 per live birth Achieving 90% coverage on basic immunization Gain universal coverage on health insurance Lowering the prevalence of TB and malaria Control the prevalence of HIV HIGHEST STATE OF PUBLIC HEALTH DEGREE ACCESS TO ESSENTIAL MEDICINES
5 NATIONAL HEALTH CHALLENGES Basic Health Research, 2007 Hypertension is not related with the social -economy state Double burden : the threat of slow (likely to be stagnant) decrease on infectious disease combine with the fast increase on non communicable disease 11 of 33 provinces (1/3) have a cancer prevalence above the national prevalence average
6 DIRECTION OF MoH POLICIES VISION : A SELF-RELIANT AND FOR- JUSTICE HEALTHY COMMUNITY COMMUNITY EMPOWERMENT HIGH QUALITY, EQUITABLE, AND ACCESSIBLE HEALTH CARE MISSION : AVAILABILITY AND EQUITABLE DISTRIBUTIONS OF HEALTH RESOURCES GOOD GOVERNANCE CLEAN PRO- PEOPLE EFFECTIVE HEALTH DEVELOPMENT INCLUSIVE RESPONSIVE Ministry of Health Strategic Plans,
7 PUBLIC HEALTH REFORM REFORM ON HEALTH FINANCING INCREASING THE AVAILABILITY, FAIR DISTRIBUTION, AND AFFORDABILITY OF MEDICINE REFORM ON HEALTH S HUMAN RESOURCES A JUST AND SELF- RELIANT HEALTHY COMMUNITY REFORM ON PHARMA AND MEDICAL DEVICES EFFECTIVE AND EFFICIENT PHARMACEUTICAL CARE INCREASING THE SAFETY, EFFICACY, AND QUALITY OF MEDICINE, MEDICAL DEVICES, FOOD REFORM ON HEALTH SERVICE REFORM ON HEALTH MANAGEMENT SELF-RELIANT ON MEDICINE, MED S RAW MATERIALS, AND TRADITIONAL MED S
8 II. PHARMA CURRENT SITUATION
9 NATIONAL PHARMA OVERVIEW National pharma market (2Q10, IMS) reach a value of USD 4 billion, increase 9.9% from the same period on 2009 MNCs occupy USD 1.2 billion (30%) from the national value 205 pharma operated in Indonesia : 4 state-owned, 168 national private,& 33 MNC 16,000 products registered
10 INDONESIA PHARMA MARKET ONE OF THE LARGEST MARKET IN ASEAN Source : National Fair Competition Watch Comission (KPPU), 2010
11 III. REGULATION ON PHARMA
12 PRESIDENT DECREE NO. 36/2010 (Negative List on Investment) Classifies pharma industry be able to obtain foreign investment up to 75% Subject to revision, regarding the importance of foreign investment on the development of national pharma industry The revision proposed to uplift the limit of foreign investment up to 100%
13 MoH DECREE NO. 1010/2008 (Registration of Medicine) Registration of medicine could only be maintained by pharma industry located in Indonesia, either local or multinational company Acknowledge the IPR aspect on underpatent medicine, including the data exclusivity for registration purposes Based on the principles of public health protection, non-discriminative, non-double standards, in line with international regulation, and preserve the national concern
14 MoH DECREE NO. 245/1998 (Pharma Industry License) Subject to revision, regarding the vast development on pharma Transparent revision process managed by inviting stakeholders (incl. IPMG) on formulating discussion to achieve the best -suited model Reflects the supportive position of MoH on creating the conducive climate for investment opportunities in the pharma industry field
15 TECHNICAL REGULATION ON PHARMA International standard and requirements on pharma had been adopted in Indonesia Indonesia had participate in ASEAN harmonization for technical standard and requirements, providing Indonesia at the bussiness of global society Indonesia is now in the process of applying to be the member of Pharmaceutical Inspection Cooperation Scheme (PIC/s) to ensure the high standard quality of our products
16 IV. FUTURE PHARMA EXPECTATION
17 PHARMA OPPORTUNITIES The disease burden, coupled with the improvement of public access to health service, would increase the medicine consumption and pharma market Conducive regulation will diminish the uncertainty on managing pharma bussiness, in line with the Gov t intention to attract more foreign investment A numerous qualified local pharma industry will be a beneficial counterpart to built mutual partnership, in line with the Gov t intention to develop the local pharma industry
18 V. CONCLUSION
19 IN THE CONCLUSION At the nature, Indonesia provide a possibility to increase the medicine market, especially through the conducive support from MoH MNCs are invited to participate in the fulfillment of public medicine needs and in the effort of developing national pharma competence Foreign investment should follow the technical regulation related with pharma
20
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