Vietnamese Prime Minister Le Minh Hung said on October 21 that the ultimate goal of amendments to several healthcare-related laws is to eliminate unnecessary intermediaries and ensure that patients and hospitals can access medicines and medical equipment at reasonable prices.
Speaking during a National Assembly discussion on a draft law amending several articles of laws on children, people with disabilities, medical examination and treatment, pharmacy, the elderly and health insurance, Hung said the Government had urgently submitted the amendments to address gaps in legal regulations and implementation practices. He said those gaps had driven up costs.
Inspections and investigations by the Ministry of Public Security and the Government Inspectorate uncovered shortcomings in legislation, guiding documents and Ministry of Health circulars, as well as in implementation. These shortcomings allowed excessive intermediaries and additional costs, the Prime Minister said.
Many medicines, particularly branded drugs, and medical devices are imported. Even when manufacturers expand domestic production, Vietnam remains dependent on imported raw materials, while local capacity meets only a small share of demand.
The Prime Minister cited an investigation into a case involving Viet My company. He said goods were traded through several overseas companies before reaching Vietnamese importers, significantly inflating their prices. Such practices increase healthcare costs, burden patients and add pressure to the State budget and the Health Insurance Fund.
Costs have been pushed to excessively high and unreasonable levels, Hung said, calling on National Assembly deputies, particularly those working in healthcare and hospitals, to help refine the draft legislation.
Businesses should be allowed to earn profits, but those profits must remain reasonable, Hung stressed. Medicines and medical equipment serve essential healthcare needs and should not be left entirely to market forces. The State must ensure affordable prices, especially given the substantial out-of-pocket expenses currently borne by patients.
The Government plans to work with relevant agencies to amend the Law on Pharmacy and the Law on Medical Examination and Treatment, with the aim of increasing transparency in medical equipment procurement and drug pricing. Possible solutions include centralised procurement for commonly used products and direct negotiations between hospitals and suppliers of specialised items.
The Prime Minister also questioned why private hospitals could obtain medicines and equipment at reasonable prices while public hospitals struggled. He called for a thorough review of procurement and bidding mechanisms and warned against foreign pharmaceutical and medical equipment companies colluding to control the market.
National Assembly deputy Duong Minh Tuan from Ho Chi Minh City proposed requiring procurement decisions to take into account the full lifecycle costs of medical equipment, including proprietary chemicals, biological products and spare parts.
He urged the drafting agency to consider both initial purchase prices and long-term operating expenses when assessing procurement. He also stressed the need to strengthen suppliers' compliance with relevant laws and maintain effective State management of medical equipment.
Sources: VietnamPlus / Vietnam News Agency
