Medical Reform Scheme to Go Public     

The Chinese government is speeding up reforming the nationwide medical service system. The Ministry of Health of China has collected public advices for a proposed reform scheme on October 14th, 2008.(CCR 2008 No.31) The medical reform scheme revised on the base of public advices may go public in March 2009, according to a director of China Pharmaceutical Enterprises Management Association.
    Along with the scheme, other five matching schemes involving in medical treatment and healthcare, basic (elementary) drugs, grassroots medical service system, getting public medical service fair and reform of state-run hospital will go public at the same time.
   The authorities may have a trial operation in several provinces and cities for three years before it gets effective nationwide.
   In reference to state-run hospital reform, the Ministry of Health will prohibit hospitals to make the 15% margin on drugs. Without supports from government or public welfare, China's hospitals have always paid expenditure by making profits from medical services and selling drugs, nearly 50:50. This operational model has helped to push up prices of drugs. As compensation, the government will manage to increase subsidy to hospital.
   Presently the National Development and Reform Commission is investigating the production cost to various drug makers in order to maintain a rational drug price. And the drug distribution firms will also be checked.