Politics
Jokowi calls for lower prices of medicines and medical devices
Jakarta (ANTARA) – President Joko Widodo (Jokowi) has instructed his ministers to explore ways to reduce the prices of medicines and medical equipment, in a bid to improve competitiveness with other countries.
The directive was issued during a meeting at the presidential palace in Jakarta on Tuesday, as reported by Health Minister Budi Gunadi Sadikin.
“We are currently facing high prices for medical equipment and medicines,” he quoted Jokowi as saying.
Jokowi stressed the need for resilience in the domestic medical sector, especially in anticipation of future pandemics.
The meeting discussed the underlying reasons for the high costs of medicines and medical equipment.
Sadikin highlighted potential inefficiencies in trade routes and stressed the importance of transparent governance to avoid unnecessary price hikes.
Drug prices in Indonesia tend to be three to five times higher than in Malaysia, partly because of marketing inefficiencies.
To address this problem, Sadikin plans to engage in discussions with domestic medical device manufacturers and pharmaceutical associations to find effective solutions.
The meeting also focused on taxation in the health sector. Mr. Sadikin assured that the government was striving to implement effective and simple tax policies without disrupting government revenues.
In addition, coordination between technical ministries was discussed, particularly in terms of encouraging industrial development.
Sadikin pointed out inconsistencies, such as the zero percent import duty on ultrasound devices compared to the 15 percent duty applied to the domestic industry for materials and components used in the manufacture of the same devices.
“That's where the inconsistencies appear,” he revealed.
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Translator: Rangga Pandu AJ, Resinta Sulistiyandari
Publisher: Anton Santoso
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