LCGPA unveils additional price preference mechanism for pharma sector
In its statement, the authority explained that the mechanism grants an additional price preference of up to 20%, in addition to the existing 10% preference stipulated in the Regulations on Preference for Local Content and Local SMEs.
A total of 17 pharmaceutical and medical products have so far been included in the list designated for this mechanism.
LCGPA estimates that spending on these target products will reach SAR 141 million, with an expected contribution of SAR 53.8 million to GDP. This highlights the initiative's crucial role in strengthening the national economy and driving growth in the local pharmaceutical industry.
Eligibility for the additional price preference mechanism requires each product to have a valid registration certificate issued by the Saudi Food and Drug Authority (SFDA).
The mechanism does not apply to national products that have only undergone secondary packaging, except for those on which clinical studies or bioequivalence testing have been carried out in Saudi Arabia or those containing an active pharmaceutical ingredient (API) manufactured locally.
LCGPA emphasized that this initiative is designed to support the national pharmaceutical industry by introducing new competitive incentives within the government procurement framework, ultimately boosting reliance on local products in the Saudi health sector.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Saudi Gazette
9 hours ago
- Saudi Gazette
Saudi Arabia and Syria sign energy cooperation agreement in Riyadh
Saudi Gazette report RIYADH — Saudi Arabia's Minister of Energy Prince Abdulaziz bin Salman met with Syria's Minister of Energy Eng. Mohammad Al-Bashir in Riyadh on Sunday to explore opportunities for bilateral cooperation across various energy sectors. During the meeting, both sides discussed ways to strengthen ties in petroleum supply, electricity, renewable energy, energy efficiency, and investment opportunities. The talks also covered knowledge exchange in developing projects, policies, and regulations in the energy sector, with a shared aim of supporting Syria's development efforts. Following the meeting, the two ministers signed a memorandum of understanding between the governments of Saudi Arabia and Syria to enhance cooperation in energy. The MoU outlines joint efforts in petroleum, gas, petrochemicals, electricity, power interconnection, and renewable energy.
Saudi Gazette
12 hours ago
- Saudi Gazette
Saudi Arabia concludes participation in UN High-Level Political Forum 2025 on sustainable development
Saudi Gazette report NEW YORK — Saudi Arabia concluded its participation in the 2025 United Nations High-Level Political Forum on Sustainable Development, which brought together nations to review global efforts and progress toward achieving the Sustainable Development Goals (SDGs) outlined in the 2030 Agenda. The forum ran from July 14 to 23 at the UN headquarters in New York. The Saudi delegation was led by Minister of Economy and Planning Faisal Al-Ibrahim and included representatives from nine government entities: the Ministries of Economy and Planning, Foreign Affairs, Health, Human Resources and Social Development, and Environment, Water and Agriculture; the Saudi Fund for Development; Madinah Development Authority; the National Center for Wildlife; and the Quality of Life Program. In his remarks, Minister Al-Ibrahim highlighted Saudi Arabia's rapid progress on sustainable development indicators within the G20 over the past decade, attributing it to Vision 2030, which he described as a national project born from the aspirations of the leadership and the Saudi people. "Vision 2030 has enabled the Kingdom to become the fastest-progressing G20 country in SDG indicators over the last 10 years," Al-Ibrahim said. "This progress reflects the power of aligning ambition with structured action, strong political will, and effective policies." He also pointed to innovative local initiatives, such as the launch of the Sustainable Development Atlas by Madinah City, which covers all 70 of its neighborhoods and supports evidence-based policy design through comprehensive data mapping and scenario modeling. Saudi Arabia's water sustainability efforts were spotlighted as the Kingdom was recognized by the UN Water Committee for its clear progress on SDG 6 (clean water and sanitation), particularly in integrated water resources management. The Ministry of Environment, Water and Agriculture presented key lessons learned in securing water sustainability in one of the world's most arid regions during a dedicated side event. Additionally, the Ministry of Economy and Planning, in collaboration with the Ministry of Human Resources and Social Development, the Quality of Life Program, and the Madinah Development Authority, organized a side event focusing on cross-sectoral integration, institutional capabilities, and innovation to accelerate progress toward the SDGs. The Saudi Fund for Development (SFD) also participated with an informational pavilion showcasing its contributions to global sustainable development through the financing of projects in health, education, energy, infrastructure, industry, and mining. On the sidelines of the forum, Minister Al-Ibrahim held a series of bilateral meetings with senior officials to explore opportunities for strategic partnerships, economic cooperation, and investment. The High-Level Political Forum is held annually under the auspices of the UN Economic and Social Council and serves as a key platform for tracking SDG progress since its inception in 2012.
Saudi Gazette
13 hours ago
- Saudi Gazette
Citizen, Syrian expat publicly named over commercial concealment in Riyadh
Saudi Gazette report RIYADH — The Ministry of Commerce has publicly named a Saudi citizen and a Syrian resident following a final court ruling that found them guilty of engaging in commercial concealment involving the sale of restaurant equipment in Riyadh. According to the ministry, the Saudi national had unlawfully enabled the Syrian expat to run commercial operations under his business license. The expat was granted full control over the establishment, managing its operations and transactions for personal gain in violation of the Anti-Concealment Law. Investigations revealed solid evidence of the violation, including the expat signing contracts, supervising workers, handling purchases and sales, collecting revenues from the illicit business activity, and covering business expenses and rent. The Criminal Court in Riyadh issued a final verdict that includes the public naming of both individuals, a shared fine of SR20,000, the cancellation of the commercial registration, revocation of the license, liquidation of the business, and payment of all due taxes, zakat, and fees. The court also barred both individuals from engaging in commercial activity and ordered the deportation of the Syrian expat, with a permanent ban on returning to work in the Kingdom. The Ministry of Commerce reminded the public that under the Anti-Concealment Law, violators face penalties of up to five years in prison, fines of up to SR5 million, and the confiscation of illicit funds once a final court ruling is issued.
