The Ukrainian government has announced new regulations for the distribution of pharmaceuticals, imposing limits on the quantity of products that can be supplied by a single distributor.

This was revealed in an official statement from the Ministry of Health.

From now on, all distributors must adhere to uniform conditions in contracts, including pricing, payment terms, and delivery conditions.

Additionally, there is a restriction whereby the supply volume of a single drug from a manufacturer to a distributor cannot exceed 20% of the total revenue from sales of that drug in the previous year.

Exceptions can only be made if other distributors have not submitted purchase requests.

These changes to licensing requirements will take effect two months after the publication of the relevant decree.

Currently, the pharmaceutical distribution market is dominated by two companies: 'BaDM' and 'Optima-Pharm.'

The Dnipro-based 'BaDM,' owned by Oleksandr Dityatkivskyi and Oleksandr Sukhodolskiy, accounted for about 40% of drug supplies to pharmacies in September 2021, according to Forbes, while 'Optima-Pharm,' owned by Andrii Hubskiy, held approximately 45% of the market.