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BELARUS REVOKES PHARMACEUTICAL TRADING LICENSES

September 1, 2005

Belarus' Health Ministry has revoked a dozen pharmaceutical trading licenses in the country due to "serious breaches" of regulations. Violations have included selling unregistered drugs, which have either not been authorized for sale in the country or have not been subjected to quality control. Also, some pharmacies were found to be dispensing medicines despite not employing qualified personnel. Others breached rules regarding drug storage procedure.

Belarus manufactured pharmaceuticals worth US$80mn in 2004. However, local drugmakers only account for an estimated 21% of domestic drug sales. This share has dropped in recent years as health awareness has grown in the country and consumers increasingly have turned toward imported treatments.

Elsewhere, Belarus has begun negotiations with Russia over an agreement on extending free medical services in the two countries. Healthcare in Belarus is provided by the state, while Russia has a public-insurance system. The move forms part of a wider plan to link the two countries in areas such as taxation, business and freedom of movement. Internationally isolated Belarus was scheduled to introduce the Russian rouble on January 1, 2006, although the currency union has now been delayed.