Filipinos Call for Drug Price Controls

Calls are growing in the Philippines for the government to create a Drug Prices Regulation Board. Proponents highlight the fact that, on a comparative basis, the country's retail drug prices are the highest in the ASEAN trade bloc.

The latest criticisms of the country's free-market pricing strategy -- outlined by authorities in the provincial capital of Cebu -- call for a maximum retail price to be established. Foreign firms currently account for 75% of the Filipino drug market, although the government continues to influence the market through boosting generic medicines and encouraging parallel imports of cheap pharmaceuticals.

Government intervention has expanded in recent years amid spiralling drug prices. State procurement giant the Philippine International Trading Corporation is planning 300 low-cost pharmacies, mainly distributing cheap imported drugs. Unsurprisingly, many foreign firms oppose such moves, fearing an even greater influx of copy and counterfeit products.