– sale of drugs by wholesale organizations will be carried out on condition of compulsory formalization of a protocol on price coordination for the supply of essential and vitally important drugs according to a form approved by the RF Government Decree № 654. Sale of drugs by pharmaceutical institutions should be carried out upon availability of the aforementioned protocol. However, timelines for issuing such protocol for distributors working with foreign drug producers may be unacceptably long.
Decree № 654 does not envisage price regulation on drugs’ substances. In the meantime, in the structure o drugs’ prime cost expenses on substances (raw materials and inputs) account for 40-80%. At the same time, upon the production of domestic drugs Russian producers mainly use imported substances: they represent 87% of the pharmaceutical substances market in Russia.1 As a result of price fixing on the ready products where there are no restrictions on markups for foreign substances providers may result in serious negative effect for domestic producers.
New mechanism for government price regulation will have restrictive effect on their growth and reduce their assortment for similar drugs. At the same time, this mechanism of price regulation generates risks for reducing economic incentives of producers to distribute a number of drugs and correspondingly the consumers may find out that these drugs are unavailable in the pharmacies.
One should become aware of the fact that the task of drugs availability for the population by means of price regulation on sought-after drugs is hard to solve. In order to achieve an intended effect it is necessary to modify the approach itself to the drugs supply regulation. More effective seems an approach which engages the drugs insurance system. At the first stage it can be formed on the basis of existing programs essential and vitally important drugs. Implementation of this approach can be commenced in 2011 in the pilot mode in several Subjects of the Russian Federation with gradual increase of the number of regions – projects participants. In the future when Russia overcomes the crisis, it will be feasible to expand categories of the population included in the insurance patterns.
Торгово-промышленная палата Российской Федерации, Союзэкспертиза, МФБ, 2008. Организация биржевой торговли фармацевтическими субстанциями. Пояснительная записка, Москва, октябрь 2008.
http://www.mse.ru/comm_ex/pharma/docs/pz.doc Section Social Sphere 4.4. The State of Research and Innovation Sphere 4. 4. 1. New Polit ical and Technological Priorit ies in Scient ific and Innovat ion Development In the wake of the global crisis the issue of innovation development is mentioned more often than in previous years, despite the fact that "innovation" context has greatly contrasted with the actual results of the formation of the national innovation economy. The principal difference last year was that, first, the innovation vector of development (at least at the level of strategic plans) has appeared in virtually all key ministries and departments, and secondly, in the issues of technological progress, i.e., based on the achievements of science and innovation, the President of the country started to pay much more attention to it.
In 2009 a special Commission has formulated a concept on modernization and technological development of the Russian economy which task is to review public policy in the issues of modernization and technological development, the selection of priorities, forms and methods of government regulation and coordination of activities of executive authorities in this field. Issues of innovation promotion in general and R & D funding in particular became one of the central problems in its work.
At the first meeting of the Commission, the President of Russia declared 5 trends of the "technological breakthrough"1:
• Energy efficiency and saving;
• Nuclear technology;
• Space technologies, including the transmission infrastructure of all kinds of information;
• medical technologies, including diagnostic equipment and medicines;
• strategic information technology, including the creation of supercomputers and software development.
In the context of modernization and technological development, particular emphasis was made to encourage businesses to innovation, improvement of the work of development institutions and technical regulation. Moreover, the President2 also stressed the importance of addressing such issues as the creation of a favorable environment to foreign companies and research organizations to build the research and design centers, the development of ties with the scientific diaspora and invitation of top scientists and engineers to Russia.
In the annual speech of the RF President to the Federal Assembly3 there was proclaimed the need to:
• establish a permanent mechanism to attract to Russia the prominent Russian and foreign scientists, and entrepreneurs who have experience in commercialization of new developments (including the simplification of rules of recognition of academic degrees and diplomas of higher education received in the leading universities of the world, as well as facilitating visa regime);
• expansion of grant support to the developers of new technologies on a competitive basis;
• creation business incubators on the basis of modern universities;
http://www.kremlin.ru/transcripts/4506 June 18, 2009.
Russia, go Ahead! Dmitry Medvedev’s article. http://www.kremlin.ru/news/5413 September 10, 2009.
http://www.kremlin.ru/transcripts/5979 November 12, 2009.
RUSSIAN ECONOMY IN trends and outlooks • establishing in Russia a powerful center for research and development, which would be focused on the support of all the priority areas;
• oblige large companies to participate in the formation of advance order for the results of research.
In particular, two key measures of "enforcement" nature in respect to public companies were discussed at a meeting of the Commission on Modernization. The proposals were formulated as follows1:
• introduction of mandatory corporate innovation development programs for public companies according to the approved by the government requirements that should be taken in line with, rather than as a part of investment programs;
• introduction of a “standard share” to each individual public company to be allocated for of R & D, basing on its industry specifics and comparison with similar companies abroad.
As per the message results, there was formed a list of instructions to the Government, which should be performed by March 1, 2012. The documents to be prepared are covering the following range of tasks:
1) expansion of the support to the developers of new technologies by providing grants on a competitive basis;
2) simplification of the rules of recognition of academic degrees and diplomas of higher education received in the leading universities of the world;
3) simplification of the rules of employment of the needed in Russia foreign specialists, reducing the time frames of issue and extension the term of visas issued to them;
4) introduction of international expertise in the implementation of priority research projects.
In the above list there are clearly identified priority areas to the State, which currently include: cooperation with compatriots (three out of four assignments are devoted to this issue), expansion of grant financing, incentives to business for a greater support of research and development. It is clear from the lists, that the chosen priorities are variable in scope. On the one hand, there is a quite particular problem, as the creation of a super center to work on all areas of research, but on the other hand, in fact, a new policy is planned in regard to the large business. It should be noted that the discussed measures of "enforcement" to business remind principles of the Soviet economy. The proposed approach is not practiced in countries with developed innovation systems. In some countries there is indicative planning, but there is no detailed “standards” for each state-owned company (or companies where the state owns the "golden share") for expenditure on R & D and no requirements draw up a plan for innovation development. These issues are in the authority of companies’ management, rather than in the federal government competence, and company management is carried out according to market principles.
The issue of technological priorities deserves special consideration. Until now, the priority trends of scientific and technological development and the corresponding critical technologies were defined basing on estimates (in the last year – foresight ones), formed by the Ministry of Education and Science and later approved by the President. Another revision of priorities was made in 2009, and by September was prepared a draft, developed by the RF Ministry of Education, which contains the revised list of priorities (see Table 1).
Minutes of the meeting of the Commission on modernization and technological development of economy of Russia. December 25, 2009. http://www.kremlin.ru/transcripts/ http://www.kremlin.ru/news/Section Social Sphere Table The Lists of Priorities for Science, Technology and Engineering Development in the Russian Federation List of 2006 List of 2009 (draft) List of the RF President Information and Telecommunication Information and Telecommunication Systems Information technologies Systems Environment conservancy Environment conservancy – Industry of nanosystems and materials Industry of nanosystems – Living system Life sciences Medical technologies Energy and Energy Efficiency Energy efficiency and conservation Energy efficiency and conservation Transportation, aviation and space Transportation and space systems Space technologies, including the infrastructure of systems all kinds of information transmission - – Nuclear technology Source: 1. Priorities for the development of science, technology and engineering in Russia and the List of critical technologies in the Russian Federation. Approved by the President on May 21, 2006, by the Order Pr-842.
2. Priorities for the development of science, technology and engineering in Russia and the List of critical technologies of Russia. Draft of the Ministry of Education and Science. September 30, 2009 3. The first meeting of the Committee on Modernization and technological development of Russian economy. June 18, 2009.
http://www.kremlin.ru/transcripts/As can be seen from the Table 1, the presidential priorities differ from the old formats not only informative, but in terminology. Traditionally, the priorities are formulated in terms of broader areas and disciplines ( "living systems", "transportation and space systems") or industries ("nano technologies"). Presidential priorities are formulated more narrow and specific, in terms of technologies.
As a result, there is developed an unprecedented situation, when, in fact, there are two lists of priority scientific and technological areas: one, which is structured as existing federal targeted programs (FTP), and first of all, the federal program for R & D support – “Research and development on priority directions of scientific-technological complex development of Russia” for 2007-2012, and the new "presidential" priorities, which, according to the reports on the meetings of the Committee for Modernization and Technological Development of Russia's economy, various ministries and agencies1 should increasingly focus their work. Probably, one should expect a revision of programs and a number of activities aimed at supporting the development of various technologies. In particular, RAS has already responded to the new list, has revised the subjects of research and found that for the projects on 5 areas of technological breakthroughs it is currently spent approximately 23% of funding for Basic Research Program.
It was determined that this figure can be increased to 35%.If we compare the policy speeches of the President on the issues of science and technologies development with the main provisions of the speech of the US President Barack Obama on April 27, 2009 at the National Academy of Sciences of the United States, which became extremely popular in Russia, it becomes obvious, that the development priorities of the two countries coincide in many ways. First, the thematic priorities are overlapping. In the US a top priority, which is linked with a number of other initiatives (both financial and institutional ones), there named the ecologically safe energy and energy efficiency. A priority remains for the United States in a traditional area - health care, in particular the fight against various diseases, and the quality of health care ( "best service at lower prices"). Among the 5 "presidential" pri See, for instance: Poisk, No. 49. December 4, 2009. P. 5.
We can do without a sledgehammer. RAS will help to provide a fundamental basis to modernization//Poisk.
No. 3–4. January 22, 2010. P. 5.
RUSSIAN ECONOMY IN trends and outlooks orities of technological development there are energy conservation, and new medical technologies.
Secondly, in his speech, the US President stresses the importance of international cooperation, especially in the specified priority areas, as well as establishes a policy of increased openness and the validity of scientific policies and their implementation. These trends can be found in the Russian strategic documents as well. Thus, we can say that the development of innovation systems are increasingly transparent, and countries with different levels of economic development are beginning to choose more and more similar strategic directions of science and innovation support.
However, unlike Russia, the United States and West European countries, the government in the time of crisis has provided substantial additional funding for research, including basic research, while Russia has begun and continues to tighten the budget for research and development1. At the same time, the development of anti-crisis measures was much delayed - in fact, intensive discussions began in the first half of 2009. Moreover, both, approaches and measures were non-system, contingency approach in a way. Government policy was based on the concept of efficient use of existing mechanisms and instruments, rather than creating new ones.
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