Comment on China: 'Ineffective' generic drugs fuel rare public anger as country's procurement system is accused of costs being cut at the expense of people's safety

ShareMySims@lemmy.dbzer0.com ⁨1⁩ ⁨week⁩ ago

• Oneser@lemm.ee ⁨1⁩ ⁨week⁩ ago

  As far as I understand, the CCP has a central procurement system where it purchases a significant portion of the expected need for a drug in bulk each year. This “forces” the drug companies to offer a much lower price (or lose the sale to a competitor), allowing the medication to be provided cheaper to the people. Similar models exist in most countries with a form of centralised health care. In China however, there have been reports of close to break-even or loss prices for the manufacturers, leading to potential cutting of corners by the manufacturers.

  Wouldn’t capatilistic be allowing the companies to sell their drugs for a higher price to end users directly?

  source