Business appeals to the Speaker of the Verkhovna Rada
The business appeals to Dmytro Razumkov, Chairman of the Verkhovna Rada, and Mykola Solsky, Chairman of the Committee on Agrarian and Land Policy, to prevent the reduction of the number of innovative drugs in the national market of veterinary medicines due to the adoption of the Law “On Veterinary Medicine and Animal Welfare” in the second reading. The business also calls for maintaining the possibility of simplified registration of feed additives in this draft.
Thus, this document has been under elaboration for over two years. However, the latest version of the draft law is low on quality, as the adoption of the draft law in the current version will reduce the range of medicines in the domestic market by approximately 30% and complicate the entry of new innovative drugs for animals.
Today, international companies account for approximately 40% of the veterinary medicine market in Ukraine. They mainly provide such products as vaccines, innovative veterinary medicines, diagnostic equipment, and technologies for the treatment and monitoring of animal health. The adoption of this document will reduce the range of international companies by a third and increase the price of other goods. There are several reasons for this.
First, the document sets additional requirements for international companies that operate through official representative offices, namely – the requirement to open its enterprise in Ukraine (if the company wants to sell products on the Ukrainian market). As a result, it raises barriers for foreign companies to access Ukrainian consumers and ultimately reduces the supply of new innovative drugs in the domestic market. To address this issue, it is necessary to maintain the existing regulation, which allows international companies to register drugs independently, without additional intermediaries.
Second, the draft law also requires that the research is mandatorily conducted in Ukraine. As a result, innovative drugs will not be able to be imported to Ukraine due to the lack of proper laboratories that can test the new drug. In the opinion of the business, instead of this norm, it is necessary to provide for the possibility of a mechanism for recognizing the results of international laboratories that have proper accreditation.
The third norm provides for the inspection of foreign plants (by the Ukrainian delegation) for the purpose of issuance of licenses for the import of veterinary drugs into Ukraine. Given the current situation with COVID-19, inspections, in general, may be questionable, not to mention that additional inspections of foreign industries will only lead to higher prices for drugs in the domestic market, which will directly affect the price of food products in the livestock industry.
At the same time, for the finished feed industry, this draft law is an opportunity to either destroy or maintain the possibility of simplified registration of feed additives, which is provided by Article 19 of the Law “On Safety and Hygiene of Feed.” We call for this procedure to be maintained, as its introduction is extremely important for the establishment of the National Register of Feed Additives in Ukraine, which is a critical condition for the normal operation of feed producers, including feed for unproductive animals.
Also, it is necessary to attract additional investment in the feed industry of Ukraine, to promote the expansion of feed production, the creation of new jobs associated with the growth of the feed industry. The simplified procedure for state registration of feed additives will also significantly reduce the administrative burden on business. All these positive consequences will lead to an increase in payments and revenues to the state budget of Ukraine.
Therefore, the business is calling for suggestions and comments from the community. We hope that common sense will rule out this situation, and the risk of reducing the number of innovative drugs in the domestic market will be minimized.
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