Proceedings of the Tenth International Conference of Drug Regulatory Authorities (ICDRA) - Hong Kong, China, 24 - 27 June 2002
(2002; 166 pages) View the PDF document
Table of Contents
View the documentAbbreviations and acronyms used in this report
Open this folder and view contentsOpening ceremony
Open this folder and view contentsHerbal medicines
Open this folder and view contentsKeynote address
Open this folder and view contentsSafety of blood-derived products
Open this folder and view contentsAntimicrobial resistance - new initiatives
Open this folder and view contentsHarmonization I
Open this folder and view contentsHarmonization II
Open this folder and view contentsProtection of trial subjects in clinical trials
Open this folder and view contentsRegulating biotechnology products
Close this folderRegulatory challenges: health sector reform and drug regulatory capacity
View the documentStrengthening regulatory capacity during reform
View the documentThe creation of a trans-Tasman therapeutic products regulatory agency: a case study in cooperation
View the documentThe South African experience
View the documentDrug registration and importation control in Tunisia
View the documentHealth reform and drug regulation in Venezuela
View the documentEconomic regulation of pharmaceuticals in Brazil
View the documentRecommendations
Open this folder and view contentsAccess to drugs and vaccines I
Open this folder and view contentsAccess to drugs and vaccines II
Open this folder and view contentsCounterfeit pharmaceutical products
Open this folder and view contentsHomoeopathy
Open this folder and view contentsSafety monitoring
Open this folder and view contentsE-Commerce
Open this folder and view contentsCurrent topics
Open this folder and view contentsRegulatory challenges of new technologies
View the documentList of participants
View the documentBack cover
 

Economic regulation of pharmaceuticals in Brazil

Dr Marcelo Liebhardt, Brazil

In the early 1990s, the market for pharmaceuticals in Brazil was liberalized. In the mid-1990s, it was realized that drug prices had risen substantially and some controls needed to be reintroduced.

The failure of market forces in relation to pharmaceuticals is attributable to the fact that pharmaceuticals are essential products with inelastic demand and high technical complexity. There is also brand loyalty among prescribers. Substitution is low and there is little vertical mobility inside one therapeutic class. All these factors limit the capacity of the consumer to choose.

Recent experience in Brazil shows that competition policy is inadequate to control the pharmaceutical market. The alternatives are technical and economic regulations. Technical regulations monitor the quality and safety of medicine while economic regulations reduce the market power of the pharmaceutical industry and increase consumer access. In Brazil, a mixture of technical and economic regulations is employed.

The instruments used for economic regulations are country-specific and are affected by the characteristics and epidemiological situation of the country, patterns of consumption, distribution of the population and the relationship between state and industry.

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