Support The Moscow Times!

Russian Drug Prices to Rise Again on Global Transport Chaos

Pharma industry faces a perfect storm of cheap ruble, production backlogs, supply chain disruptions and high transport costs.

Pharma bosses have said price rises could be on the way. Moskva News Agency

Drug prices are likely to rise in Russia as a result of disruption to global travel and supply chains, while some could disappear from the market, pharmaceutical companies have warned.

Transport costs are up six-fold on some routes, Russian daily Vedomosti reported Thursday, meaning some medicines could become loss making to manufacture. More than 75% of the products that go into Russian-made drugs are imported from China and India, according to RNC Pharma.

Medical providers previously told The Moscow Times the shutdown of factories at the start of the coronavirus outbreak in China severely disrupted the import of life-saving cancer medicine into Russia. Meanwhile, the fall in the value of the ruble has already pushed up prices by 15%, Kommersant newspaper previously reported

Patients are now being warned to brace for further price rises despite factories coming back online and the ruble seemingly stabilizing, with pharmaceutical bosses pointing to huge increases in transport costs, logistical difficulties, material shortages and production backlogs.

“This is a critical issue,” executive director of Nanolek Maxim Stetsyuk told Vedomosti, adding that soon it would be unprofitable to manufacture some drugs, such as ibuprofen and paracetamol. Immediate price rises will only be seen in pharmacies, as the cost of drugs for public hospitals is fixed by state contracts.

… we have a small favor to ask.

As you may have heard, The Moscow Times, an independent news source for over 30 years, has been unjustly branded as a "foreign agent" by the Russian government. This blatant attempt to silence our voice is a direct assault on the integrity of journalism and the values we hold dear.

We, the journalists of The Moscow Times, refuse to be silenced. Our commitment to providing accurate and unbiased reporting on Russia remains unshaken. But we need your help to continue our critical mission.

Your support, no matter how small, makes a world of difference. If you can, please support us monthly starting from just 2. It's quick to set up, and you can be confident that you're making a significant impact every month by supporting open, independent journalism. Thank you.


Read more