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Local Production in NIS: Implications for Health Policy

Discover the assumptions and benefits of local production in the NIS region, including increased access to medicines, decreased prices, and improvements in quality. Explore the challenges and requirements for successful local production and its impact on national budgets and GDP.

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Local Production in NIS: Implications for Health Policy

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  1. Local ProductionNina Sautenkova,Pharmaceutical Policy in NISHealth Technology and PharmaceuticalsWHO/EURO

  2. Local production as industrial policy: assumptions • Increases well-being • Employment grows • Development of technologies • Medicinal independence • Decreases import • Increases export

  3. Local production as Health policy: assumptions • Increases access to essential medicines • Decreases prices • Increases quality of medicines

  4. Local production as part of “other” policies • Raises national prestige • Saves foreign currency • Can produce something except pharmaceuticals

  5. Active ingredient Sterile active ingredient Starting materials Ready for consumption Medicine Intermediate products Active ingredients SynthesisManufacturing/Packaging Fermentation Extraction

  6. In many countries there are some parts of this process, but what does it really mean? • Do they produce quality medicines at affordable prices? • Can they become members of international market?

  7. What is needed for local production? • Quality starting materials (have to be imported) • Quality regulation system able to assure desired quality of starting materials and medicines (time and money consuming) • Sustainable infrastructure of supply with all needed materials – water, system of disposal of waste products, failure-free power system

  8. What is needed for local production? • Infrastructure of supply and distribution– roads, railways, ports • Access to universities and institutes • Trained personnel • Big market (can be achieved either in very big country or quality should be compliant with international standards and regulatory body in country should be recognised internationally to confirm this to enable manufacturer to export to other countries)

  9. Local production: some facts • “Total import” does not depend on local production capacity • Local production does not decrease local health budgets, but very often increases it • Local production is more important in countries with higher GDP

  10. Conclusions • Empirical assumptions about “benefits” of local production in small or low income countries are not confirmed by any facts • Main constrain is lack of sufficient drug regulatory capacity, able to provide quality assurance • There is no evidence that local production decreases prices/ normally it is cheaper to buy, than to produce

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