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State health agencies of Korea, Chile sign public procurement accord

usscmc by usscmc
March 26, 2020
State health agencies of Korea, Chile sign public procurement accord
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Korea Health Industry Development Institute (KHIDI) and Chile’s National Health Service System (CENABAST) signed a memorandum of understanding for the Chilean government’s public procurement of pharmaceuticals from Korean companies, last Friday.

CENABAST is an institution that manages and supplies the public procurement of all medicines and medical devices in the Latin American country.





Korea Health Industry Development Institute President Kwon Deok-chul (left) and Valentin Diaz, director of Chile’s National Health Service System (CENABAST), sign a memorandum of understanding at their respective offices on March 20.

The organizations agreed to support and cooperate in finding excellent Korean companies that meet the demand for the procurement, signing export contracts with CENABAST, and acquiring approval from the Public Health Institute of Chile (ISP).

Under the accord, Korean companies that do not have earned the Chilean government’s approval for marketing can take part in the public procurement process in Chile, provided they have licenses in Korea and submit the required documents.

The MOU signing became possible based on a similar accord between the two countries’ health ministries in 2015, aimed to promote information exchange and joint projects in areas of common interest, including healthcare policy, pharmaceutical and medical device cooperation, and aging.

At home, KHIDI is planning to conclude a three-way agreement with the Korea Pharmaceutical and Bio-Pharma Manufacturers Association and Korea Pharmaceutical Traders Association to help Korean companies speed up their advance in Chile’s pharmaceutical market.

Chile’s pharmaceutical market was valued at $4.26 billion in 2019. The CENABAST’s public procurement amount totaled $1.1 billion, and pharmaceutical products took up $850 million worth, accounting for 84.2 percent of the total.

Chile is importing pharmaceutical products from the U.S., Germany, France, and India. Korea remains the 28th exporter in the Chilean market.

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