Severe Crisis Expected in the Pharmaceutical Market: Anush Poghosyan

Today, there are 3260 registered drug names in Armenia. Compared to 2018, the absolute number of registered drugs in Armenia has decreased by 40 percent, which is alarming. Of the 3260 registered drugs, approximately 1800 are available and on sale,” said Anush Poghosyan, co-founder of the NGO 'Right to Health' during a press conference.

“The issues are as follows: pharmaceutical companies are no longer interested in having representatives in Armenia, because for international branded pharmaceutical companies, it is a small market. When they want to enter this small market, the Armenian Drug Expertise Institute creates unclear obstacles for drug registration,” she noted.

Armenia has been in the EAEU registration process for a year now, and until December 31, 2025, the sale of drugs with national registration in Armenia will cease, which, according to Poghosyan, will exacerbate the problem.

She further explained that the registration of a drug in Armenia, which should take about 60 days if the formula is registered, currently takes over a year: “When you ask why the drugs are registered so late, they say we do not have the resources to organize it quickly.”

According to Poghosyan, there are 8500 drug names registered in the EAEU member states' registry, but they are not allowed to be imported into Armenia as an EAEU country. “The Ministry of Health does not grant permission. What happens is that we encourage the importation of drugs into Armenia through illegal means.”

She compared this situation to Georgia, where there are 8000 registered drug names and an additional 3000 drug names allowed for parallel import. She also pointed out that drugs are cheaper in Georgia because there is no value-added tax on drugs, while in Armenia, a 20 percent value-added tax is imposed on pharmaceuticals.

“We have problems in the Armenian pharmaceutical market. By the end of the year, if we do not raise the alarm and the officials of the Ministry of Health do not get concerned, we will face a severe situation in the pharmaceutical market by December 31,” said Anush Poghosyan, detailing that there will be a significant issue with quality branded medications, whereas 92 percent of drugs in Armenia are imported, and only 8 percent are produced locally.