100 million yuan! What should pharmaceutical companies do when the high price guarantee comes?

Recently, Pingjiang County, Yueyang City, Hunan Province issued a bidding announcement on the open competition for the selection of cooperative enterprises for centralized procurement and distribution of pharmaceutical consumables According to media reports, Pingjiang used to be a national poverty-stricken county integrating "the old, the mountain, the border, the poor and the big" It has been rated as the province's advanced county in poverty alleviation for two consecutive years, and is expected to lift its hat in 2018 It is worth noting that in the announcement of Pingjiang County, the quality assurance deposit for centralized procurement is required, totaling 100 million yuan According to the announcement, the deposit must be paid within the specified time limit When the contract expires or both parties terminate the contract in advance according to law, the quality assurance deposit shall be cleared by both parties as agreed in the contract, and the medical institution shall return the full amount or balance of the quality assurance deposit within 30 days (depending on the clearing situation of both parties); if the medical institution delays to return the quality assurance deposit due to its own reasons, it shall pay the liquidated damages according to the delayed return amount, time and 12% annual interest standard In the following cases, the quality assurance deposit will be deducted: within one year after signing the contract, the enterprise will develop and build the information network software system for the public medical institutions of the whole county free of charge to interconnect the relevant information of the public medical institutions; during the contract period, the enterprise will be responsible for the maintenance and necessary upgrading of the software system free of charge If the enterprise breaches the contract, 10 million yuan of quality assurance deposit will be deducted Within one year after the signing of the contract, the enterprise shall register and establish a branch company with drug and medical device operation qualification in Pingjiang or an enterprise legal person holding more than 51% of the shares, which is specially responsible for the distribution of drug consumables in public medical institutions and village clinics in the county If the enterprise breaches the contract due to its own reasons, it shall deduct 15 million yuan of quality assurance deposit If the enterprise provides false information and electronic open commitment of false bills, once verified, both parties will automatically lose the qualification to participate in the competition before signing the contract and recover the liquidated damages of 5 million yuan; after signing the contract, both parties will automatically terminate the contract and deduct all the quality assurance fees Medical institutions must click and place an order online according to the regulations, and connect with the enterprise to determine the categories of price reduction of drug consumables ordered If there is an online click on the next single a drug and the enterprise actually distributes the second drug, once it is found, the penalty shall be deducted 10 times of the purchase amount of the medical institution; if there are more than five times of the exchange behavior of the second drug, the medical institution has the right to request to terminate the contract and deduct 10 million yuan of quality assurance deposit ▍ 10 months, the hospital can "default payment" in addition to asking for a premium deposit, the announcement promised that the medical institution could have a 10-month accounting period Announcement requirements: medical institutions can dynamically maintain the actual payment for 10 consecutive months without settlement temporarily, and at the same time, according to the dynamic amount of payment for 10 consecutive months, return the corresponding amount of quality assurance deposit However, when the payment for 10 consecutive months is more than 70 million yuan, the quality assurance deposit will only be refunded 70 million yuan If the quality assurance deposit is deducted due to the enterprise's violation, resulting in the quality assurance deposit lower than the balance after the refund of 70 million yuan, the enterprise shall make up the balance after the refund of 70 million yuan within 5 working days At the same time, the relevant departments also give medical institutions and enterprises flexible processing space to some extent In the announcement, after both parties reach an agreement through consultation, medical institutions can arrange a certain proportion of funds from the income generated from the price reduction of drug consumables, which will be used to pay for goods of enterprises, and gradually reduce the unpaid payment dynamically maintained by medical institutions during the contract period to the amount of 7 consecutive months But there is a problem that needs to be clear: we all know that if medical institutions default on payment for goods for enterprises for a long time, it may eventually lead to the enterprise's capital chain tension, and thus the drug supply is not timely; then, this indirect reason leads to the enterprise's untimely guarantee and supply, and whether the cost of default is still borne by the enterprise? ▍ the purchase amount of imported drugs, biological products and joint venture drugs is limited Pingjiang County requires that on the basis of the current bidding price of the provincial and Municipal Drug consumables purchase platforms, the minimum price reduction rate of the actual total purchase amount of drugs and consumables according to the classification: 4% for imported drugs, 6% for drugs produced by Chinese foreign joint ventures, 5% for biological products, 10% for psychiatric specialty drugs and 20% for other drugs High value consumables 20%, inspection (Reagent) consumables 50%, inspection (imaging) consumables 30%, hemodialysis consumables 35%, other medical consumables 10% In the document, "secondary bargaining" has also become a clear stipulation: medical institutions lead and distribution enterprises fully cooperate with relevant production enterprises to directly discuss "purchasing with quantity" related drug consumables If through "purchasing with quantity", the total amount of classified purchasing of the above-mentioned drugs and consumables is calculated annually, based on the bidding price of the provincial and municipal purchasing platforms, the price reduction range is greater than the classified price reduction range, and the excess price reduction part belongs to the medical institutions, and if the price reduction range is lower than the classified price reduction range, the distribution enterprises shall make up for it In short, it means that medical institutions and distribution enterprises work together to "bargain twice" for production enterprises There is more price reduction, and the excess money belongs to medical institutions The price reduction is less, and the missing money is supplemented by distribution enterprises Pingjiang county also stipulates that if the total purchase amount of imported drugs, joint venture drugs and biological products exceeds 5% in township hospitals and 15% in county hospitals, the excess part shall be calculated as the total price discount of other drugs This means that if the imported drugs, joint venture drugs and biological products are used beyond the quota, the medical institutions only calculate the discount payment according to the price of other drugs (similar generic drugs) ▍ Pingjiang county is not an example In fact, in the whole upstream and downstream system of China's pharmaceutical industry, Pingjiang county is not an example of sky high margin, second bargaining and long accounting period In recent years, it is very common for some public medical institutions in Hunan Province to collect a huge amount of quality deposit when selecting drug distribution enterprises, according to saberland This is true from regional procurement with volume to top three hospitals and even county-level hospitals (see the table below for some information) In addition to Hunan Province, a well-known top three hospital in Jiangsu Province requires to pay a certain proportion of the deposit according to the drug sales volume, and stop the drug without the deposit Cixi City, Zhejiang Province, will set different "effective quotation percentage" according to the total sales volume of drugs in the current year and drug category, and pay a high amount of listing deposit For a long time, enterprises have been in a vulnerable group in the bidding process Now in order to enter the hospital, they have to pay a high amount of security deposit to restrict many behaviors of enterprises, so that they are often deducted a lot of security deposit, or even refused to return the security deposit, which is unfavorable to pharmaceutical enterprises It is true that the purpose of collecting deposit is to make up for the impact of implementing zero margin of drugs on cash flow, but at the same time, heavy capital pressure is transferred to enterprises As can be seen from the above, Pingjiang County, as a national poverty-stricken county, is about to get rid of the hat of poverty-stricken county, and its poverty relief record will inevitably have an impact on other economically underdeveloped regions If other regions also follow suit, how should enterprises deal with it?