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News / 24 December 2013 | 15:10
Imported equipment for pharmaceutical companies exempted from VAT

Imported equipment for pharmaceutical companies exempted from VAT

Ukraine's Cabinet of Ministers has freed import of certain types of equipment used in the pharmaceutical industry from Value Added Tax (VAT). According to the Government resolution, the list of energy-saving materials, equipment and components, which are exempt from import duties and whose import to the customs territory of Ukraine shall be exempt from VAT, will include equipment for the production of capsules, sachets, as well as GMP compliant substances, the Information-Analytical Bulletin of the Cabinet of Ministers informs.

This is not the first state initiative to ease the work of pharmacological industry. In the end of 2013, President Viktor Yanukovych instructed to form the main directions of the pharmaceutical market development in 2014.
"We have no reason to suspend or reduce pace. We must solve the problem, so that the quality of drugs increase and the price was comparable, at least, with our European partners. We have to work out a very specific task plan that will be included in the National Action Plan for the implementation of economic reform programs of the President of Ukraine 2014," Iryna Akimova, First Deputy Head of Presidential Administration, said.

It is also planned to develop a procedure to ensure access of innovative drugs to the Ukrainian market, as well as to consider simplification or abolition of medicines re-registration procedures.

The Presidential Administration also plans to work with experts in order to improve drug procurement procedure with the budget costs, which total about 5 billion UAH annually, eliminating the possibility of resale of medications purchased with the budget costs.

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