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INCREASING HERBAL PRODUCT CONSUMPTION IN THAILAND DURING THE PERIOD 2001-2003

INCREASING HERBAL PRODUCT CONSUMPTION IN THAILAND DURING THE PERIOD 2001-2003 By Dr Arthorn Riewpaiboon. PATTERNS OF HERBAL UTILIZATION. Food supplements. Herbal beverages. Health foods. Foods. Herbs for primary health care. Household insect repellents. Traditional drugs. HERBS.

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INCREASING HERBAL PRODUCT CONSUMPTION IN THAILAND DURING THE PERIOD 2001-2003

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  1. INCREASING HERBAL PRODUCT CONSUMPTION IN THAILAND DURING THE PERIOD 2001-2003 By Dr Arthorn Riewpaiboon

  2. PATTERNS OF HERBAL UTILIZATION Food supplements Herbal beverages Health foods Foods Herbs for primary health care Household insect repellents Traditional drugs HERBS Foods & drugs for animal Drugs Herbal drugs Modern drugs Agricultural insecticides Herbal cosmetics

  3. ECONOMIC CONCEPT OF HERBAL GOODS Development of drugs from herbs Fresh herbs from garden or forest Prepared herbs from herbal shop Registered traditional drugs Isolated- active-compound drugs Formulated herbs from herbalists Potential for increasing information asymmetry Public goods Private goods Decreasing barrier to entry Source: Developed based on the idea of Ashcroft and Li Wan Po, 1999.

  4. World Market HERBAL MARKETS Direct sale Export Import Export Import Store Whole- sale Health Consumers Pharmacy Farm Raw materials system Industry Hospital Hospital Production Wild Clinic Community Production

  5. HERBAL PHARMACOECONOMICS; RESEARCH FRAMEWORK Determinants Research on demand-supply Consumption: Clinical outcomes Economic outcomes Demand Supply Economic evaluation: cost analysis, CEA, CBA, CUA Governmental Promotion/ Regulation

  6. RESEARCH ON DEMAND-SUPPLY (MARKETS) • Raw material • production • Raw materials • procurement system • Industry • Distribution • Outlets • Consumption • Quantity • Characteristics • Predictors

  7. GUIDELINES ON MEASURING THE QUANTITY • Definition of herbal products • Source or sample • Condition of use • Prices; wholesale or retail • Time; adjusting of inflation • Estimation; sensitivity analysis

  8. Thailand STUDY ON HERBAL PRODUCT CONSUMPTION Stratified sampling 13 areas; 12 Public health regions and capital city (Bangkok) Convenience sampling SAMPLING 13 provinces; one province from each area Stratified sampling Classify drugstores in each province into type 1, type 2, type 3 1% by convenience sampling 132 samples from all 3 types in 13 provinces

  9. STUDY ON CONSUMPTION ANALYSIS Items and their values of individual store for 2 months Grouping by indications Percentage calculation Country volume per year by indication groups Proportion adjusting to 1 year Number of stores adjusting to the country Mark-up adjusting Medians of total value by groups; Bangkok; type1 Bangkok; type2 Bangkok; type3 Provincial; type1 Provincial; type2 Provincial; type3 Volume at whole- sale price per store per year Volume at whole- sale price per country per year Country volume at retail price per year

  10. COST-EFFECTIVENESS ANALYSIS Cost=CH2 $ Cost=CH1 $ AEs Rx Success (NH1 cases) Herbal drug NH cases Success (NH2 cases) Patients Failure (NH-NH1-NH2 cases) Failure (NS-NS1-NS2 cases) Synthetic drug NS cases Success (NS2 cases) Success (NS1 cases) AEs Rx Cost=CS1 $ AEs = Adverse effects Rx = Conventional treatment Cost-effectiveness ratio of treatment by herbal drug = (CH1+CH2)/(NH1+NH2) Cost-effectiveness ratio of treatment by synthetic drug = (CS1+CS2)/(NS1+NS2) “Success” is evaluated comparing to effective measure related to the objective. Cost=CS2 $

  11. COST-BENEFIT ANALYSIS BEFORE INTERVENTION AFTER INTERVENTION Healthcare sector(C1b) Healthcare sector(C1a) Costs of the intervention (Q) Herbal program Patient & family(C2b) Resources consumed Patient & family(C2a) Resources consumed Societal Productivity (C3b) Societal Productivity (C3a) Net benefit = (C1a+C2a+C3a)-(C1b+C2b+C3b)-Q Source: Developed based on the idea of Drummond et al, 1997.

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