This initiative aims to enhance Indonesia's health resilience through three main strategies: research and development, production, and market guarantees.
The ministry's Director General of Pharmaceuticals and Medical Devices, Lucia Rizka Andalucia, stated that the goal is to produce drug raw materials independently within the country, thereby diminishing reliance on imported components.
"The ministry has prepared programs and policies to accelerate domestic production independence through three program groups," Andalucia noted in a statement from her office on Monday.
The first focus area is research and development, which encompasses programs implemented, including facilitating the transition to alternative sources for drug raw materials and strengthening research within the drug raw material industry.
Between 2022 and 2024, the ministry actively worked to bring about changes in source facilitation, successfully shifting from imported raw materials to domestically sourced alternatives for 42 pharmaceutical companies.
The second program is production, wherein the government is committed to increasing the production and utilization of domestic raw materials for drugs by providing incentives to business actors to realize the resilience of pharmaceutical preparations.
"Incentives are given to every pharmaceutical preparation company that carries out domestic research, development, and innovation activities, and which carries out production using domestic raw materials, (encompassing) both fiscal and non-fiscal incentives," Andalucia remarked.
She noted that so far, the pharmaceutical industry has successfully developed and produced several raw materials for medicines domestically.
"The Ministry of Health and the Ministry of Industry are advocating for 22 raw materials for medicines to be produced domestically and applied in the regulation of import trade," she stated.
Meanwhile, the third program focuses on market guarantees to accelerate domestic drug independence. This strategy is implemented through regulations designed to stimulate the development of the raw material industry for medicines.
Several policies have been issued to support the use of pharmaceutical preparations made from domestic raw materials, including the Minister of Health's Decree HK.01.07/MENKES/1333/2023 of 2023 concerning Increasing the Use of Pharmaceutical Preparations Using Domestically Produced Raw Materials.
This was followed by the Decree of the Minister of Health HK.01.07/Menkes/163/2024, which pertains to the Consolidated Showcase in the Ministry of Health's Sectoral Electronic Catalog.
Andalucia further noted that additional policies aim to adjust the value of drug price claims for referral programs and chronic disease drugs.
She emphasized that all these policies reflect the government's support intended to promote greater usage and market guarantees for domestically produced medicinal raw materials.
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Translator: Mecca Yumna, Resinta Sulistiyandari
Editor: Rahmad Nasution
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