Hainan Province has recently introduced the "2009 Hainan Province Medical Organization Drug Centralized Procurement Implementation Plan" (hereinafter referred to as the Plan). This initiative aims to streamline the procurement process for medical institutions by requiring all non-profit hospitals at or above the county level, which are affiliated with local governments, to purchase medicines listed on the winning bid list through an online platform. At the start of this centralized procurement system, only pharmaceutical manufacturers holding valid GMP certification and wholesale companies with GSP certification were eligible to participate in the bidding process.
The Plan mandates that all relevant information during the drug procurement process must be publicly disclosed via the official service platform or other approved media channels. Both the buyers and sellers involved in the procurement must conduct transactions exclusively through the designated service platform. Except for narcotics, certain second-class psychotropic drugs under national control, toxic drugs, and radioactive substances, all other medications used by healthcare institutions are included in the centralized procurement catalog. Medicines listed in the national essential medicines list will follow the guidelines set by the national essential medicine system.
Following the announcement of the centralized procurement plan, any newly approved drug by the State Food and Drug Administration (with a new drug certificate) can be procured through a filing process if needed for clinical purposes. In emergency situations, medical institutions may purchase such drugs immediately, but they must complete the necessary filing within one week. The price of these filed drugs must not exceed the highest retail price set nationally.
According to the plan, to cut down on distribution layers and lower procurement costs, only pharmaceutical manufacturers (or domestic first-tier agents for imported products) are allowed to bid and engage in activities like drug registration and pricing. Wholesale companies are limited to their role as distributors. To ensure drug quality, all participating production and distribution companies, along with the medicines they offer, must meet strict qualification standards. This comprehensive approach is designed to enhance efficiency, reduce costs, and maintain high-quality medical supplies across the province.
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