Pharmaceutical Pricing Policies in Qatar

Abstract

Qatar is the world’s highest per capita income non-OECD country. The country has established the National Health Strategy 2011–2016 (NHS), which is aligned with the Qatar National Vision 2030 that will advance Qatar’s Healthcare Vision of creating a world-class, patient-centered healthcare system. There has been a huge increase in public spending on healthcare, and it is the highest per capita health expenditure in the region. The National Health Insurance Scheme is a strong platform to ensure a healthy population with access to affordable healthcare. Public sector drug procurement is carried out through closed international tenders, GCC bulk procurement and direct purchasing. The Qatari pharmaceutical market reached a value of QR 1.43 billion (USD 392.6 million) in 2010. The spending on medicines and pharmaceuticals in 2009 and 2010 out of the total public sector spending was USD 138 million (9 %) and USD 143 million (8 %), respectively. Medicines dispensed at the Hamad Medical Corporation health institutions are priced differently for Qataris and non-Qataris. The development of the pharmaceutical market is shaped by the decision of the Supreme Council of Health (SCH) to abolish government controls over the pricing of medicines and to allow more importing agents and suppliers in the country. Qatar has adopted an open market system. The retail prices of medicines remain among the highest in the region. There is no policy on the bioequivalence of generic medicines, but the government is promoting the use of generic medicines. There is extensive use of branded medicines in Qatar’s healthcare facilities. A high share of imported and branded medicines, which are trusted and preferred by prescribers and consumers, has increased the Qatari government’s healthcare spending. SCH’s attempt to remove price controls had affected the affordability of medicines as the prices of some drugs have increased and are inconsistent across facilities. The government has had to implement price controls, although it abstained from explicitly fixing prices.