POLAND: Health Ministry Moves Forward on Foreign

UNCLAS WARSAW 001223 SIPDIS SENSITIVE STATE FOR EUR/NCE/MSESSUMS STATE PASS USTR FOR DONNELLY/ERRION COMMERCE FOR 4232/ITA/MAC/EUR/OECA/MROGERS E.O. 12958: N/A TAGS: ETRD EINV PL SUBJECT: POLAND: Health Ministry Moves Forward on Foreign Drug Price Cuts ¶1. (SBU) According to a pharmaceutical LAWG group member, the Ministry of Health has published its ordinances for cutting official prices for imported pharmaceuticals by 13 percent. The ordinances were published in the Polish language Journal of Law no. 101, on 19 June 2006. The publication of the ordinances is the formal next step required to implement the draft regulations on July 1. -------------- Inter-Ministerial Issues? -------------- ¶2. (SBU) The published ordinances themselves do not contain language regarding the price cuts. However, they reference the "amending . . . [of] the level of payment" (i.e. the 13 percent price cut) for drugs. The Ministry's letter to the Association of Innovative Pharmaceutical Companies reinforces this message (we understand Washington agencies have received this response from PhRMA). Econoff spoke to Krzystof Januszek (protect),head of the WTO Unit at the Ministry of Economy, about the latest developments. Interestingly, he said that the Ministry had sent a letter to Piecha urging consultations not only with the affected foreign industry, but also WITH THE MINSITRY OF ECONOMY (his emphasis). Although he was sufficiently discreet about the contents of the Ministry's letter, his assessment of the price cut issue does not appear to differ dramatically with our talking points. Januszek added, however, that Piecha and the Ministry of Health "did not respond to the Economic Ministry's letter, not even with a phone call or an email." -------------- Comment -------------- ¶3. (SBU) There may be an opportunity for the USG to exploit the apparent gap between the trade authorities and the Health Ministry. But any enthusiasm for this approach should be tempered with the awareness that principals in the Ministry of Health seem not to care what anyone else thinks. ASHE