Medicine prices in Latvia are on average higher than in other European Union (EU) countries. The government, without explaining the reasons, is delaying considering and approving the solutions offered by Latvia’s Ministry of Health for reducing drug prices, the Ombudsman says.
The Ombudsman Juris Jansons calls on the Prime Minister and the Saeima to immediately find a solution so that the medicines are available and reasonably priced. The report was submitted to the Cabinet of Ministers at the end of last year but has not been forwarded for approval until now.
According to the information provided by the Interior Ministry, it is not approved because the pharmaceutical industry submitted significant objections.
At the same time,
Finance Ministry doesn’t support the reduction of VAT on drugs, from 12% to 5%.
The Ombudsman’s office welcomes the work done by the Justice Ministry, says Juris Jansons. “The proposed solutions are such that citizens can buy medicines cheaper. It is no surprise that the objections of the pharmaceutical industry are raised, they are to be evaluated, but at the same time they should not prevent the approval of the report,” emphasizes Jansons.
He explains that
The constitution guarantees everyone the right to health protection,
therefore, the availability of drugs at a reasonable price is an integral element of a quality care system.
The Ombudsman’s report also offers a number of specific solutions, which provide for revising the principles of drug price formation, and reducing drug prices in pharmacies.
The Ombudsman also emphasizes that
drug mark-ups should not be higher than in the neighboring countries of Lithuania and Estonia.
According to the information provided by the Finance Ministry, the merchants of the pharmaceutical industry have objections to the mentioned solutions.
Also, studies comparing the prices of medicines in different countries and taking into account the purchasing power of the population show the problem of the financial availability of medicines in Latvia.
The international study concluded that there is a socio-economic inequality in the availability of prescription drugs in Latvia, i.e. part of the population cannot afford to buy the prescription drugs they need.
The Ombudsman emphasizes that in order to improve the health of the population, prevent complications of various illnesses and reduce the risk of disability, medicines must be available and their use must be carefully evaluated. Taking care of everyone’s individual health would help reduce premature mortality, improve the health of the entire society, and also have a beneficial effect on the country’s social and economic indicators.