Nghe An Health Sector: Resolving difficulties and problems in bidding for drugs, chemicals, and medical supplies

The online conference had the participation of all hospital and medical center connections in the province. Photo: Thanh Chung

High rate of drug and chemical bidding failure

At the conference, representatives of the Department of Health conducted an assessment of the work.biddingdrugs, chemicals, clearly stating the difficulties and solutions. Accordingly:

Recently, the Department of Health organized a centralized bidding at the local level for use in 2023-2024 with 232 items with a total value of nearly 522 billion VND. The results selected 182 winning items with a total value of over 429 billion VND (78% of the list, 82% of the value). For the 22% of items that did not win the bid, the Department of Health directed the units to proactively organize bidding.

Themedical facilitiesIn Nghe An province, a plan was organized to select contractors for 186 packages including 24,522 items, with a total value of over VND 2,490 billion; 115 packages were invited to bid including 11,931 items (48.7%), with a total value of over VND 1,492 billion (59.9%). The results of the selection were 7,020 winning items (58.8% of the bid), with a total value of nearly VND 1,044 billion (70.0% of the bid value).

Very few businesses participate in bidding for traditional medicine and herbal medicine packages. Photo: Internet

The bid rejection rate at medical facilities was 41.2%, of which 32% were rejected due to lack of bidders, and 5% were rejected due to exceeding the planned price. Among the bid packages, the package with the highest bid rejection rate was the Traditional Medicine package (92%) and the Chemical package (47.8%).

It can be seen that: The winning rate of bid packages organized by medical units themselves is low compared to the winning rate of local-level centralized bidding and national-level centralized bidding (82%). Bidding for chemicals and medical supplies is behind schedule. As of March 5, 2023, only 5.7% of bid packages for chemicals and supplies used in 2023 have issued contractor selection results.

There are 20 medical facilities reporting a shortage of medicine with a total of 3,030 items missing, with a total value of over 291 billion VND (accounting for 12% of the total demand of medical facilities in the province); 8 facilities are missing over 20%; 8 facilities are missing over 10%; 4 facilities are missing less than 10%... Among the missing items, traditional medicine is the most lacking with a shortage rate of 50%, followed by chemical items at 16%.

Many difficulties and problems

At the conference, delegates pointed out the reasons why bidding for drugs and chemicals has not been very effective: Some units are not proactive and positive in planning and organizing procurement bidding for packages that the units organize themselves.

The ability to organize procurement planning of some units is still weak. Human resources participating in bidding at hospitals are weak and lacking. Medical staff are reluctant to participate in bidding.

In addition, objectively, the winning bid results of drugs in the national centralized bidding list and the price negotiation drug list in 2022-2023 are slower than planned. Medical examination and treatment facilities are not able to organize bidding in time when the centralized bidding results (national, local and price negotiation) are not available or contractors cannot be selected.

During the procurement of medicines through bidding at medical units, infusion is the item with a high bid rejection rate. Photo: illustration

Due to the increased demand for medical examination and treatment after the pandemic, it is difficult to accurately predict the demand for each type of drug, so planning is too low or too high compared to actual demand.

In the construction and appraisal of bidding plans, due to fear, there is a lack of independent appraisal companies participating in the appraisal of prices for drugs and medical supplies. Currently, in the province, there is only one independent appraisal unit conducting appraisals of prices for drugs and medical supplies, while state appraisals require independent appraisals by appraisal companies.

Bidders do not participate in bidding for a number of items that have fluctuated or increased compared to the planned price established due to reference to the winning bid price within the previous 12 months or the quantity of goods and purchase value in the plan and bidding documents are small and do not offset the cost of bidding and supplying goods.

Some contractors stopped supplying drugs when the hospital's debts had not been fully settled. Some exclusive suppliers were not willing to supply to some medical examination and treatment facilities such as private hospitals. Drug suppliers did not promptly supply drugs on the list of special controlled drugs.

Find solutions to overcome difficulties

At the conference, medical facilities in the province discussed and exchanged opinions related to difficulties in bidding for drugs and chemicals.

Pharmacist Ngo Tri Diem - Deputy Director of Nghe An Oncology Hospital proposed: The Department of Health should research and organize centralized bidding at the local level for some small, retail, and rarely used items to help medical units. For these items, contractors do not participate in bidding at the unit due to the unit's low demand and low profit. If centralized bidding is organized at the facility, the number of these items will increase many times, and contractors will certainly participate.

The fact that contractors do not participate or fail to bid for many items will greatly affect medical examination and treatment. Photo: Internet

Nghe An Department of Health has taken note and provided feedback and guidance to help medical facilities. To resolve the difficulties in bidding for drugs, chemicals, medical supplies and the current drug shortage, Nghe An Department of Health requires medical units to proactively re-bid for items that did not win the bid and have no alternative items; proactively organize contractor selection for 51% of items that have not yet organized contractor selection.

Update information and promptly implement the instructions of the National Procurement Center on the organization of bidding and purchasing of drugs on the list of national centralized procurement; for drugs on the list of national centralized procurement that are being bid but have not yet had results.

The Department of Health will continue to improve the bidding capacity of medical facilities; direct and guide units to proactively plan and organize bidding for purchasing items not on the list of centralized procurement; items on the list of centralized procurement but have not yet had results or have used up all the winning bid quantity.

The functional departments of the Department regularly contact medical facilities to promptly grasp information related to difficulties and problems in drug supply and propose solutions; strengthen inspection and supervision of planning and organization of drug procurement bidding of medical units, promptly discipline units that have not done a good job of planning and organizing drug supply, leading to drug shortages at medical facilities.

Comrade Nguyen Thi Hong Hoa - Director of Nghe An Department of Health requested leaders of medical units to truly uphold the sense of responsibility, focus on implementing procurement solutions to supply drugs and chemicals. Photo: Thanh Chung

Concluding the conference, comrade Nguyen Thi Hong Hoa - Director of Nghe An Department of Health stated: The Department of Health receives opinions from medical facilities to make recommendations to the Ministry of Health and the Provincial People's Committee to continue to have solutions to remove difficulties and obstacles in the bidding for drugs, chemicals and medical supplies in the coming time.

In the general context of local shortage of drugs and chemicals in medical facilities nationwide, the Government and the Ministry of Health have issued new policy documents to resolve difficulties such as:Resolution 30 NQ-CP. Health units are requested to carefully study, grasp and thoroughly understand the contents of the document; seriously implement it in accordance with regulations, and promptly report any problems for timely guidance.

Leaders of medical units must truly uphold their sense of responsibility, focus on implementing procurement solutions to provide timely medicine and chemicals to serve the medical examination and treatment of people... Currently, the Department of Health has received reports that 20 units are lacking medicine due to not winning the bid, however, no unit has submitted a plan to organize centralized procurement bidding. These 20 units need to soon submit a bidding plan for the missing items.

While waiting for the Ministry of Health to guide the implementation of Resolution 30 NQ-CP, the Department of Health will propose to the Provincial People's Committee to have an effective form of bidding for drugs, materials, and chemicals in the coming time... Medical units and departments of the Department of Health continue to review difficulties and problems, have opinions and recommendations for the Department of Health to work with related sectors and the Ministry of Health to come up with solutions.