Impact of Bribes on Drug Prices in China

An official with the Chinese Pharmaceutical Enterprises Association stated that the cost of bribes generally makes up to 20 percent of the total cost of a medicine in China.

In total, costs associated to sales expenses contributes to 30 to 40 percent of the total cost of a drug. The illegal payments of bribes is included in that percentage.

(Effects of corruption on the economy.)

Source:  “Bribery increases medicine prices by 20 pct: expert,” People’s Daily Online, July 29, 2013.