"4+7" city drug volume-based purchasing and using pilot program in China and its impact
Mi Tang1, Jiangjiang He1,2, Minxing Chen1
1Shanghai Health Development Research Center, Shanghai Medical Information Center, Shanghai, China.
Drug Discoveries & Therapeutics
|January 21, 2020
Summary
China's "4+7" city drug volume-based purchasing pilot program significantly reduced drug prices by an average of 52% in pilot cities. National expansion further lowered prices, easing patient financial burdens.
Area of Science:
- Health Policy
- Pharmaceutical Economics
- Public Health
Background:
- China's health system reform aims to improve drug pricing mechanisms.
- The "4+7" city drug volume-based purchasing pilot program was initiated in January 2019.
Purpose of the Study:
- To introduce the implementation plan, organizational structure, and drug selection process of the "4+7" pilot program.
- To analyze the initial effects, challenges, and policy development of the drug volume-based purchasing policy.
Main Methods:
- Analysis of drug prices before and after policy implementation.
- Evaluation of implementation progress and patient cost reduction.
Main Results:
- Selected drug prices dropped significantly: 52% in pilot cities, 59% nationally compared to 2018 prices.
- Further 25% price reduction observed after national expansion.
- Implementation progress exceeded expectations by August 2019, reducing patient expenses.
Conclusions:
- The "4+7" drug volume-based purchasing policy has shown initial success in reducing drug prices and patient costs.
- Long-term impacts and effects of the expanded policy require further observation.
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