Vietnam PM targets middlemen to control medicine and device costs

Vietnam's pharmaceutical and medical device sectors remain heavily reliant on imports, with many branded medicines and equipment sourced from overseas suppliers. Even as manufacturers establish domestic production facilities, the country continues to depend significantly on imported raw materials, with local manufacturing capacity meeting only a fraction of national demand.

Government officials have highlighted the role of intermediaries in driving up consumer prices for essential medicines and medical devices. By removing unnecessary middlemen from the supply chain, authorities aim to create more direct pathways between manufacturers and consumers, thereby reducing costs and improving affordability of healthcare products.

The initiative reflects broader government efforts to improve healthcare accessibility and affordability across the region. Officials have emphasized that controlling pharmaceutical and medical equipment prices is essential for public health outcomes and equitable access to treatment.

Vietnam's healthcare sector faces structural challenges requiring multi-faceted solutions. Policymakers are examining supply chain inefficiencies and regulatory frameworks to identify opportunities for cost reduction without compromising product quality or safety standards. The focus on intermediary elimination represents one component of a wider strategy to strengthen domestic pharmaceutical capacity and improve market competition.

Photo: A retail pharmacy in Ecopark, Hung Yen province, Vietnam, July 2017. Donald Trung via Wikimedia Commons (CC BY-SA 4.0).