What is the meaning of the bargain purchase of drugs

Pharmaceutical bargaining procurement means that the supply and demand sides negotiate directly on the transaction price according to the market mechanism, i.e., the listed purchase price is determined by the pharmaceutical manufacturer (or commissioned enterprise) through the "Shanghai Pharmaceutical Purchasing Service and Supervision Information System" within the inquiry and bargaining system and medical institutions. The price negotiation system is implemented after the price negotiation with the medical institutions.

This form will give more initiative to the market, and at the same time give full play to the platform's service and regulatory functions.

Shanghai's initial bargaining scope was self-financed drugs. on August 31, 2016, the "Notice on Further Improving the City's Self-financed Drugs Direct Grid Procurement Work" pointed out the direct grid procurement of drugs other than those in the "Shanghai Basic Medical Insurance, Workers' Compensation Insurance, and Maternity Insurance Drug Catalog", and self-financed drugs sold by the city's medical insurance designated retail pharmacies were also part of the scope of its procurement.

On August 14, 2017, the first batch of bargaining drugs (self-financed drugs) was announced, and since then nine more batches (9 batches in 2017*** and 1 batch in 2018) have been announced.

After that, according to the Notice on Matters Related to Comprehensively Promoting the "Sunshine Purchasing" of Medical Devices in the City, the public bargaining of medical devices for designated medical institutions under the city's medical insurance was launched on December 19, 2017, and medical devices with medical insurance codes that can be individually billed must be purchased by the medical institutions and their terminal supplier enterprises identified in the sunshine platform through the Shanghai Pharmaceuticals and Pharmaceutical Industry Association (SPIA). The terminal supplier enterprises confirmed by the medical institutions and their medical equipment on the sunshine platform can only purchase after the bargaining sub-system within the Shanghai Medicine Purchasing Service and Supervision Information System (medical equipment) has agreed on the purchase price according to the requirements.

This marks a further spread of bargaining objects and a step forward in the market process.