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Reduction of trade margins may lead to reduced availability of medicines

09/ 02/ 2026
  The European Business Association does not support the Government’s proposal to optimise the pricing of medicinal products and medical devices subject to reimbursement by reducing the maximum trade margins to 10%. These changes are envisaged by the draft Resolution of the Cabinet of Ministers of Ukraine “On Amendments to Paragraph 1 of the Resolution of the Cabinet of Ministers of Ukraine No. 955 dated 17 October 2008”, published by the Ministry of Health of Ukraine. In the view of the Association’s member companies, the adoption of this decision may result in negative consequences for both businesses and patients, including potential shortages of medicines or reduced availability. The Association has addressed a corresponding letter to the Minister of Health of Ukraine. Business representatives note that the draft Resolution does not provide calculations to justify the reduction of the margin and lacks an analysis of the cost structure of pharmacy establishments. In particular, the proposed changes do not take into account factors such as inflation, rising costs of logistics, electricity, rent and wages, as well as the impact of new marketing regulations and other sectoral changes. In this context, experts of the Association’s Retail Committee emphasise that reducing trade margins may adversely affect the operational stability of pharmacy establishments. In the business community’s opinion, fair pricing of medicines can be ensured through alternative measures, such as deregulation and tax reductions, which would enable the restoration of pharmacies damaged as a result of hostilities and ensure competitive conditions that would have a positive impact on lowering medicine prices. The European Business Association reaffirms its openness to further dialogue and its readiness to meet to discuss this issue.

The European Business Association does not support the Government’s proposal to optimise the pricing of medicinal products and medical devices subject to reimbursement by reducing the maximum trade margins to 10%.

These changes are envisaged by the draft Resolution of the Cabinet of Ministers of Ukraine “On Amendments to Paragraph 1 of the Resolution of the Cabinet of Ministers of Ukraine No. 955 dated 17 October 2008”, published by the Ministry of Health of Ukraine.

In the view of the Association’s member companies, the adoption of this decision may result in negative consequences for both businesses and patients, including potential shortages of medicines or reduced availability. The Association has addressed a corresponding letter to the Minister of Health of Ukraine.

Business representatives note that the draft Resolution does not provide calculations to justify the reduction of the margin and lacks an analysis of the cost structure of pharmacy establishments. In particular, the proposed changes do not take into account factors such as inflation, rising costs of logistics, electricity, rent and wages, as well as the impact of new marketing regulations and other sectoral changes.

In this context, experts of the Association’s Retail Committee emphasise that reducing trade margins may adversely affect the operational stability of pharmacy establishments. In the business community’s opinion, fair pricing of medicines can be ensured through alternative measures, such as deregulation and tax reductions, which would enable the restoration of pharmacies damaged as a result of hostilities and ensure competitive conditions that would have a positive impact on lowering medicine prices.

The European Business Association reaffirms its openness to further dialogue and its readiness to meet to discuss this issue.

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