The suppliers and importers of medicines demand VAT exemptions for being able to cover the costs incurred when supplying medicines to medical institutions following the depreciation of the leu. The information was communicated by acting Minister of Health Mihai Ciocanu in the February 4 meeting of the specialized parliamentary commission, IPN reports.
“The leu depreciated by 20%. The economic entities have the right to a profit margin of 15% within the public tender contests to supply medicines to medical institutions. However, they do not apply the highest margin of 15%, but of only 7% or 10%. Thus, the economic entities say they will sustain losses if they supply medicines at the prices stipulated in the contracts. Only the Government or Parliament can adopt a decision to cover the losses sustained by the economic entities and the exemption from paying VAT is a solution,” stated Mihai Ciocanu.
He also said that a VAT exemption of 8% (VAT of 8% on imported drugs and of 12% on parapharmaceutical products, e.n.) would cover a part of the costs incurred by the economic entities when importing medicines. In the future, the problem will not disappear and the legislation on public tender contests should be reviewed In this respect, the Ministry of Health suggests setting the prices of medicines in foreign currency, on the date of the tender contest, so as to avoid situations when the economic operator cannot import medicines owing to the depreciation of the national currency. “Currently, the economic entities assume the risks stipulated in the contracts signed with the medical institutions, which is supply drugs to their economic detriment. They hoped we will amend the existing normative framework, but this cannot be done in a week,” said Mihai Ciocanu.
According to the official, the medical institutions have supplies of medicines to the value of 210 million lei. A sum of 750 million lei is allocated for purchasing drugs. Based on the signed contracts, the economic entities resumed the supply of medicines to medical institutions and will do so over the next three months, but are waiting for actions on the part of the authorities.
