Question & AnswerQ&A (EXECUTIVE ORDER NO. 104)
The main objective of Executive Order No. 104 is to improve access to healthcare through the regulation of prices in the retail of drugs and medicines by imposing Maximum Retail Prices (MRP) and Maximum Wholesale Prices (MWP) on selected drug molecules and formulas.
This Executive Order is anchored on Article II, Section 15 and Article XIII, Section 11 of the 1987 Philippine Constitution, which mandate the State to protect the right to health and adopt a comprehensive approach to health development making essential goods available at affordable cost.
The criteria include drugs that address public health priorities, drugs with high price differentials compared to international prices, drugs lacking generic counterparts or market access, and innovator products that are expensive yet widely prescribed or dispensed.
The MRP applies to all public and private retail outlets such as drugstores, hospitals, health maintenance organizations, convenience stores, and supermarkets. The MWP applies to manufacturers, wholesalers, traders, distributors, and similar entities.
Violations of this Order shall be dealt with in accordance with Republic Act No. 9502 (Universally Accessible Cheaper and Quality Medicines Act of 2008) and other related laws.
The Department of Health (DOH), in consultation with the Department of Trade and Industry (DTI), shall review the list within six months from effectivity of the Order and every six months thereafter.
Existing inventory stock shall be allowed to be sold at prevailing prices within a non-extendable period of ninety (90) days from the effectivity of this Order. Afterward, MRPs and MWPs shall be strictly implemented regardless of the status of existing inventory stock.
The Presidential Communications Operations Office shall support information dissemination. Other government agencies including government-owned or -controlled corporations, financial institutions, and state universities are directed to support enforcement and implementation.
The DOH, in consultation with relevant agencies including the DTI and Philippine Competition Commission, shall study and propose measures like pooled procurement, price negotiation, and other mechanisms to influence supply, demand, and drug expenditure.
All executive issuances, orders, rules, and regulations or parts thereof inconsistent with this Order are revoked or modified accordingly.