The Ministry of Health considers it normal that the same medicine is sold in Latvia at different prices 0

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The Ministry of Health considers it normal that the same medicine is sold in Latvia at different prices

The Ministry of Health (VM) of Latvia considered the proposal to establish uniform prices for prescription drugs in all pharmacies across the country, but concluded that the introduction of such a system is impractical.

According to the agency's assessment, this would not bring significant benefits to public health. This is stated in the report of the ministry, which was reviewed by the Latvian government today.

The document notes that the instruction to analyze the feasibility of introducing a single price principle was given more than a year ago – at a Cabinet meeting on July 16, 2024, while discussing amendments to the pricing rules for medications.

To fulfill this instruction, a working group was created, which studied the experience of other countries and the practices of the European Union courts.

In several European countries, including Germany, France, and Finland, there is a system of fixed pharmacy markups on prescription drugs, ensuring the same final prices in all pharmacies. This guarantees equal financial access to medications for patients and supports small pharmacies.

However, as the ministry notes, this approach carries risks: if the markup is set too low, rural pharmacies may become unprofitable, leading to a reduction in the pharmacy network.

To assess the actual situation, the Health Inspectorate conducted a price monitoring in four regions of Latvia and in Riga. The analysis showed that the average cost of selected medications does not differ significantly: in cities – 9.94 euros, outside cities – 9.94 euros, and in Riga – 9.99 euros. The difference did not exceed 5%. Most pharmacies apply the maximum markup, so prices are little affected by location.

Small differences are most often explained by the purchase prices of remaining goods. In rare cases, lower prices were observed in independent pharmacies.

The working group concluded that introducing a single price for prescription drugs in Latvia would not improve access to medications and could even reduce competition.

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