What is the maximum retail margin percent applied to drug retailers in Vietnam?

What are requirements for price listing of drugs in Vietnam?

Pursuant to Clause 2.b Article 135 of the Decree 54/2017/ND-CP stipulating price listing of drugs in Vietnam:

Listing of drug prices

1. Responsibility to list drug price:

a) Drug wholesalers shall list the wholesale price of each drug at the wholesale stores;

b) Drug retailers shall list the retail price of each drug at the retail stores;

c) Drug wholesalers and retailers must not sell drugs at prices higher than listed prices.

2. Price listing:

a) Prices may be listed on a table or paper or in other forms as long as it is suitable and noticeable by buyers and the authorities;

b) The retail price must be printed, written or stuck on the primary package or secondary package of the drug, written on a board or paper or in other forms as long as it does not block the drug label, is suitable and noticeable by buyers and the authorities;

c) The listed currency shall be VND;

d) The listed price shall be inclusive of taxes and charges (if any).

As regulated above, the requirements for price listing of drugs in Vietnam are:

- Prices may be listed on a table or paper or in other forms as long as it is suitable and noticeable by buyers and the authorities;

- The retail price must be

+ Printed, written or stuck on the primary package or secondary package of the drug;

+ Written on a board or paper;

+ Presented in other forms as long as it does not block the drug label, is suitable and noticeable by buyers and the authorities;

- The listed currency shall be VND;

- The listed price shall be inclusive of taxes and charges (if any).

What is the maximum retail margin percent applied to drug retailers in Vietnam? - image from internet

What are conditions for issuance of Certificate of eligibility for pharmacy business for drug retailers in Vietnam?

Pursuant to Article 33 of the Law on Pharmacy in 2016 stipulating conditions for issuance of Certificate of eligibility for pharmacy business in Vietnam:

Conditions for issuance of Certificate of eligibility for pharmacy business

1. Infrastructure, equipment, and personnel conditions:

...

d) Every drug retailer must have the premises, a storage area, storage equipment, technical documents and personnel that fulfill Good Retailing Practice requirements; Retailers of herbal ingredients, herbal drugs, traditional drugs shall comply with Point b Clause 2 Article 69 hereof;

...

2. The chief pharmacist and the persons holding the positions specified in Article 11 of this Law must pharmacy practice certificates suitable for the pharmacy business establishments as prescribed in Clause 2 Article 32 hereof.

3. The assessment of infrastructure, equipment and personnel specified in Clause 1 of this Article shall be carried out every 03 years or on an ad hoc basis under regulations of the Minister of Health or international treaties to which Vietnam is a signatory.

As regulated above, drug retailers in Vietnam must have the premises, a storage area, storage equipment, technical documents and personnel that fulfill Good Retailing Practice requirements in order to satisfy conditions for issuance of Certificate of eligibility for pharmacy business.

What is the maximum retail margin percent applied to drug retailers in Vietnam?

Pursuant to Clause 3 Article 136 of the Decree 54/2017/ND-CP stipulating maximum retail margin percent applied to drug retailers in health facilities in Vietnam:

- If the buying price is not exceeding 1,000 VND per smallest pack: 15%;

- If the buying price is exceeding VND 1,000 but not exceeding VND 5,000 per smallest pack: 10%;

- If the buying price is exceeding VND 5,000 but not exceeding VND 100,000 per smallest pack: 7%;

- If the buying price is exceeding VND 100,000 but not exceeding VND 1,000,000 per smallest pack: 5%;

- If the buying price is exceeding VND 1,000,000 per smallest pack: 2%.

Best regards!