The vacated space of volume/price of the drugs centralized procurement with quantity in secondary and above public hospitals of China

• DOI: 10.1186/s12913-024-11217-3
• Publication Date: 2024-07-02T02:02:06Z
• Authors: Jingliang Wang; Siyu Zhang; Canghong Wang; Jun Li; Rui Wang; Liang Zhu
• Keywords: Health administration

Abstract Background In 2018, the National Centralized Drug Procurement (NCDP) policy has been implemented in 11 provinces, and promoted across country 2019. The main feature of is “volume for price”, therefore, it necessary to measure price relationship, not only reduce drugs, burden patients' medical costs, but also facilitate pharmaceutical companies access enough innovation incentives. aim this study was assess vacated space effect drug centralized procurement by national organizations exchange quantity. Methods A difference-in-differences (DID) model employed analyze 4 + 7 pilot drugs purchasing on sales volume selected versus clinically substitutable unselected varieties, using observational data from 2018 We compared between secondary above public hospitals non-pilot cities throughout China. Results showed that average treatment (ATE) in-hospital market supply varieties -0.42, with a 0.49. This indicates volume-price 1.16 ~ 1.17 DDD (defined daily dose)/Yuan, implying every 1 defined dose (DDD) increase reported volume, standardized decreased 1.16–1.17 Yuan. ATE shows decrease 0.13. finding highlights presence linkage effect. 0.57, indicating 4.38 4.39 DDD/Yuan approximately 3.75 higher relative ones. Conclusions ratio may serve as direct evidence evaluating shift other To strengthen volume-based negotiation approach maximize effectiveness policies, we recommend strategic implementation three-tiered system, expansion coverage, introduction relevant constraints