THE MINISTRY OF HEALTH AND SOCIAL WELFARE 3830 Pursuant to Article 88 of the Medicinal Products Act (Official Gazette 71/07 and 45/09), the Minister of Health and Social Welfare hereby issues the ORDINANCE ESTABLISHING THE CRITERIA FOR WHOLESALE PRICING OF MEDICINAL PRODUCTS AND THE METHOD FOR REPORTING WHOLESALE PRICES Article 1 This Ordinance establishes the criteria for wholesale pricing of medicinal products and the method for reporting wholesale prices. The provisions of this Ordinance shall apply to medicinal products referred to in Article 2, item 1 of the Medicinal Products Act that are included in the basic or the supplementary reimbursement list of the Croatian Institute for Health Insurance (hereinafter: “Institute”) in accordance with the Act on Compulsory Health Insurance. Article 2 A wholesale price of a medicinal product is a selling wholesale price of a medicinal product without value added tax. A customs duty, calculated by adding the customs value to the manufacturing price, is an integral part of a wholesale price of imported medicinal products. The wholesale margin and other related costs of up to 8.5% are integral parts of the wholesale price of the medicinal product. The wholesale price is calculated by adding the customs value to the manufacturing price and by adding the resultant amount to the wholesale margin and other related costs. Article 3 In line with the provisions of this Ordinance, wholesale prices of medicinal products shall be established by legal persons with the registered place of business in the Republic of Croatia and holding marketing authorisations for drug products for the Republic of Croatia. Article 4 The criteria for wholesale pricing of medicinal products shall be the following: - a reference wholesale price of a medicinal product in other countries; - the level of a reference wholesale price; - a pharmacoeconomic study. 1 Article 5 The basis for the reference wholesale price of a medicinal product, to be determined as laid down by Article 7 of this Ordinance, shall be the wholesale price of the same medicinal product (identical generic product and identical pharmaceutical form) in Italy, France and Slovenia. The sources of data about prices of medicinal products in reference countries are the latest editions of the following publications: Informatore Farmaceutico, Vidal and Register Zdravil Republike Slovenije, published until the date of calculation from Article 17, paragraph 1 of this Ordinance. If sources from paragraph 2 of this Article do not contain the data about prices of medicinal products for one or two countries referred to in paragraph 1 of this Article, the wholesale prices of medicinal products in Spain and the latest edition of Catalogo de Medicamentos shall be used as data sources. If sources from paragraph 3 of this Article do not contain the data about prices of medicinal products from paragraph 1 of this Article, the wholesale prices of medicinal products in the Czech Republic and the latest edition of Číselníky VPZ, published on www.vzp.cz, shall be used as data sources. Article 6 The reference price of a medicinal product shall be determined for each pharmaceutical form separately. If reference countries have the same pharmaceutical form of the same strength, but manufactured by different manufacturers and having different prices, the average price of a medicinal product in a particular country shall be taken for calculation. If reference countries do not have the same pharmaceutical form, a similar form (e.g. tablet – sugar coated tablet) may be taken for comparison. However, medicinal products with prolonged or controlled action cannot be equalised with usual forms. In case of a different number of dosaging units per package, the package with the closest number of dosaging units shall be taken into account. First, the reference price for the dosaging unit of the reference medicinal product, and then the number of dosaging units in the medicinal product of the legal person referred to in Article 3 of this Ordinance shall be calculated. In case of a difference in concentration of the active substance in the unit of a pharmaceutical form or the absence of a particular medicinal product in reference countries, the data about prices of medicinal products in countries referred to in Article 5, paragraph 3 of this Ordinance, in order of mentioning, shall be used for calculation as stipulated by paragraphs 1, 2 and 3 of this Article. If three reference prices are not available, minimum two reference prices shall be determined for calculation. 2 Article 7 The reference wholesale price of a medicinal product as per Articles 5 and 6 of this Ordinance shall be calculated as follows: – for Italy, the multiplication factor 0.685 shall be used to convert a retail into a wholesale price; – for France, the scale given in Annex 1, which forms an integral part of this Ordinance, shall be used to convert a retail into a wholesale price; – for Slovenia, the wholesale prices published in the latest edition of Register Zdravil Republike Slovenije shall be used; – for Spain, the multiplication factor 0.6933 shall be used to convert a retail into a wholesale price; for medicinal products whose retail price is slightly higher than EUR 89.62, the fixed margin shall be taken into account if the legal person from Article 3 of this Ordinance notifies the Institute about their amount until the first working Monday in February. – for the Czech Republic, the multiplication factor 0.84 shall be used to convert a retail into a wholesale price. Article 8 The reference wholesale price of a medicinal product in kuna shall be calculated in accordance with the form given in Annex 2, which forms an integral part of this Ordinance, by multiplying the reference price given in a currency of a particular state and determined according to Article 7 of this Ordinance with its kuna mean exchange rate according to the exchange rate of the Croatian National Bank valid at the date of calculation. Thus calculated prices shall be added up, and their sum shall be divided by the number of prices (average reference price). Article 9 The level of the reference wholesale price of a medicinal product is the ratio, expressed as percentage, between the wholesale price of a medicinal product as at the date of calculation referred to in Article 17, paragraph 1 of this Ordinance, and the average reference wholesale price of a medicinal product referred to in Article 8 of this Ordinance. Article 10 Legal persons referred to in Article 3 of this Ordinance shall notify the Institute about the harmonization of wholesale prices of all medicinal products referred to in Article 1, paragraph 2 of this Ordinance within 30 days of the date of publication of the annual calculation referred to in Article 17, paragraph 1 of this Ordinance on the web pages of the Institute. The prices of original medicinal products patented in the Republic of Croatia or in the Member State of the European Union which exceed 90% of the average reference price as with the date of calculation referred to in Article 17, paragraph 1, of this Ordinance, shall be reduced to at least 90% of the average reference price. The prices of original medicinal products which are not patented in the Republic of Croatia or in the Member State of the European Union and which exceed 65% of the average 3 reference price until the date of calculation referred to in Article 17, paragraph 1 of this Ordinance, shall be reduced to at least 65% of the average reference price. The prices of generic medicinal products which exceed 65% of the average reference price as with the date of calculation referred to in Article 17, paragraph 1 of this Ordinance, shall be reduced to at least 65% of the average reference price. Legal persons referred to in Article 3 of this Ordinance may set lower prices than those stipulated by this Article for medicinal products referred to in Article 1, paragraph 2 of this Ordinance. The prices of medicinal products that are lower than stipulated by paragraphs 2, 3 and 4 of this Article, as with the date of calculation referred to in Article 17, paragraph 1, of this Ordinance, shall not be harmonised. Article 11 The prices of medicinal products, the inclusion of which on the Institute’s basic or supplementary reimbursement list is proposed by legal persons referred to in Article 3 of this Ordinance, shall be calculated in line with the provisions of paragraphs 2, 3, 4, 5 and 6 of this Article. The wholesale price of an original medicinal product, which contains a new active substance that have a considerable impact on the increase in the possibilities of recovery and which is placed for the first time on the market of the Republic of Croatia, must not be higher than the reference price, provided that no parallel medicinal product with the same or similar therapeutic and pharmacological properties (third level of ATC) is registered on the market of the Republic of Croatia. If parallel medicinal products with the same or similar therapeutic and pharmacological properties (third level of ATC) are registered on the market of the Republic of Croatia, the wholesale price of an original medicinal product, which contains a new active substance, shall not exceed 90% of the reference price of such products. The price of a generic medicinal product with the same non-proprietary name shall not exceed 70% of the price of the medicinal product referred to in paragraph 2 of this Article. The price of a new generic medicinal product with the same non-proprietary name shall not exceed 90% of the price of the medicinal product set out as stipulated in paragraph 4 of this Article. The price of each new generic medicinal product with the same non-proprietary name shall not exceed 90% of the price of the medicinal product with the same non-proprietary name set out as stipulated in paragraph 5 of this Article. Article 12 The wholesale price of a medicinal product, whose reference price cannot be determined in any publication referred to in Article 5 of this Ordinance, shall be determined 4 on the basis of the pharmacoeconomic study submitted, along with the application, by the legal person referred to in Article 3 of this Ordinance to the Institute. The pharmacoeconomic study from paragraph 1 of this Article shall consist of the introduction with an overview of problems and goals of the study, and it shall cover an estimated number of patients during a three-year use (estimated number per year). The method of the pharmacoeconomic study shall employ official statistical data and other data from the Republic of Croatia, or the relevant literature data from other countries only if the former are not available. The results of the study shall be expressed as a direct comparison of costs with existing medicinal products. Discussion and conclusions of the study shall enable the critical assessment of the given data, methods and analysis, as well as the applicability of literature results, and indicate the health and economic consequences of the introduction of a new medicinal product. Article 13 Within 30 days of the date of publishing of the annual calculation on web pages of the Institute referred to in Article 17, paragraph 1 of this Ordinance, legal persons referred to in Article 3 of this Ordinance shall determine wholesale prices of medicinal products in line with the criteria given herein and shall notify the Institute accordingly, using both a hard copy and an electronic form of Form 1 provided in Annex 3, which forms an integral part of this Ordinance. Within 30 days of the issuance of marketing authorisation, legal persons referred to in Article 3 of this Ordinance shall notify the Institute about the proposed wholesale price of the finished medicinal product using both a hard copy and an electronic form of Form 2 provided in Annex 3, which forms an integral part of this Ordinance. Article 14 The Institute shall issue a decision on the acceptance or rejection of the proposed price of the medicinal product from Articles 10, 11 and 12 hereof within 90 days of the date of receipt of the application. If the Institute establishes that the proposed price of the medicinal product notified by the legal person referred to in Article 3 of this Ordinance does not comply with the provisions of this Ordinance or if the legal person referred to in Article 3 of this Ordinance has not submitted all data necessary to determine the price of the medicinal product in line with this Ordinance to the Institute, the Institute shall impose a deadline, which shall not be shorter than eight days, upon this legal person to harmonise the price or to supplement the submission. If the legal person referred to in Article 3 of this Ordinance does not notify the Institute of the proposed price of the medicinal product or if it does not harmonise the proposed price of the medicinal product or if it does not supplement the submission within the extended deadline, the Institute shall determine the price in accordance with the criteria for wholesale pricing of medicinal products stipulated by the provision of Articles 4 to 10 of this Ordinance. 5 A legal person from Article 3 of this Ordinance cannot appeal the decision of the Institute from paragraph 1 of this Article, but it may institute administrative proceedings, in line with the General Administrative Procedure Act. Article 15 The Institute shall submit, using the electronic form, the data about wholesale prices of medicinal products, the harmonisation of prices with the criteria stipulated in this Ordinance and all changes in prices of medicinal products referred to in Article 1, paragraph 2 of this Ordinance, to the ministry competent for health. Article 16 Subject to prior approval by the minister competent for health, legal persons referred to in Article 3 of this Ordinance may propose an increase in the price of medicinal products referred to in Article 1, paragraph 2 of this Ordinance, for the products on the basic or the supplementary reimbursement list. Taking into account the optimal supply of medicinal products necessary for ensuring public healthcare, the minister competent for health shall either grant or withhold the approval from paragraph 1 of this Article within 30 days of the date of receipt of the application. Prior approval or its withholding shall be final in the administrative procedure. Prior approval or its withholding by the minister competent for health shall be substantiated and contain the instruction of legal remedy. Article 17 The first working Monday of each February shall be taken as the date of the annual calculation of prices of medicinal products referred to in Article 8 of this Ordinance. Every year, the Institute shall publish the annual calculation on its web pages within 90 days of the date of annual calculation. Legal persons from paragraph 3 of this Ordinance shall re-determine prices of medicinal products referred to in Article 1, paragraph 2 of this Ordinance every 12 months. Article 18 Legal persons authorised for wholesale of medicinal products shall sell those products at the prices established pursuant to Article 14, paragraph 1 of this Ordinance. Article 19 All procedures initiated until the date of the entry into force of this Ordinance will be completed in accordance with the provisions of the Ordinance establishing the criteria for wholesale pricing of medicinal products and the method for reporting wholesale prices (Official Gazette 60/08). Article 20 6 On the date of entry into force of this Ordinance, the Ordinance establishing the criteria for wholesale pricing of medicinal products and the method for reporting wholesale prices (Official Gazette 60/08) shall cease to have effect. Article 21 This Ordinance shall be published in the Official Gazette and shall enter into force on 1 January 2010. Class: 011-02/09-02/134 Reg. No.: 534-07-09-1 Zagreb, 11 December 2009 The Deputy Prime Minister and the Minister of Health and Social Welfare Darko Milinović, m.p. 7 8 ANNEX 1 THE SCALE FOR THE CALCULATION OF PRICES IN FRANCE 9 ANNEX 2 LEGAL PERSON: SUBJECT: CALCULATION OF THE AVERAGE REFERENCE WHOLESALE PRICE COUNT INFORMATION ABOUT THE RY MEDICINAL PRODUCT INFORMATION ABOUT PRICES OF THE MEDICINAL PRODUCT CALCULATION OF THE PRICE IN CROATIA Pharmaceu Price in tical form Price in the HRK currency of that Wholesale price in registered for in Croatia origina HRK particular l country Mean exchang None rate of propriet AT Retail Wholes the ary Propriet C Pharmaceu price ale Croatian name ary cod tical form of a price of For Avera National (generic name e For uni ge medici a Bank name) – nal medici origina t price valid at INN produc nal l for for that date t for product packag m unit ing (pc form origina for s) (pcs) l original packag packagi ing ng 3 1 4 5 6 7 8 9 10 packag ing 11 12 2 ITALY 1 EUR = HRK FRANC E 1 EUR = HRK SLOVE NIA 1 EUR = HRK SPAIN 1 EUR = HRK CZECH REPUB LIC 1 CZK = HRK AVERAGE REFERENCE PRICE 10 ANNEX 3 Form 1 LEGAL PERSON: SUBJECT: NOTIFICATION ABOUT CHANGES OF WHOLESALE PRICES OF MEDICINAL PRODUCTS The latest publis hed Expiry whole Class: AT NonPhar date of sale Proprietary name Marketi C proprie m. marketin price ng cod tary form g in authoris e name authoris HRK ation ation for origin al packa ging 1. 2. Patent ed origin al medic inal produ ct Nonpatent ed origin al medic inal produ ct Gener ic medic inal produ ct 3a. 3b. 3c. Avera ge refere Level nce of Wholesale price refere price in in HRK nce HRK price calculated for in % according origin accor to Art. 10 of the al ding packa to Art. Ordinance ging 9 (Anne x2 U U (7 × p p 8) x to to 100 90 80 % % 4. 5. 6. 7. 8. 9. Propo sed whole sale price in HRK for origin al packa ging IND EX (11/ 7) x 100 U p to 65 % 10 10 10 a. b. c. 11. 12. 11 Form 2 LEGAL PERSON: SUBJECT: NOTIFICATION ABOUT WHOLESALE PRICING OF MEDICINAL PRODUCTS PLACED FOR THE FIRST TIME ON THE MARKET OF THE REPUBLIC OF CROATIA AT C cod e Class: Expiry Averag Wholesale price Marketin date of e in HRK g marketin referen calculated authorisat g ce price according to Pharmaceut Nonion authorisat in HRK Art. 11 of the ical form propriet Proprietary name ion for Ordinance ary original name packagi ng (Annex 2) Origin Generi al c medici medici nal nal produc produc t t 1. 2. 3a. 3b. Propos ed wholes ale price in HRK for origina l packag ing IND EX (9/7) x 100 9. 10. Origin Generi al c medici medici nal nal produc produc t t 4. 5. 6. 7. 8a. 8b. 12
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