Mandatory Disclosure of Expense Reports for Sales Agencies... Pharmaceutical and Bio Industry Focuses on Strengthening Ethical Management Measures

Korea Pharmaceutical and Bio-Pharma Association Holds '2022 First Half Ethics Management Workshop'

At the '2022 First Half Ethics Management Workshop,' Won Hee-mok, Chairman of the Korea Pharmaceutical and Bio-Pharma Manufacturers Association, is delivering a greeting.

[Asia Economy Reporter Lee Gwan-joo] A forum was held to diagnose policies related to pharmaceutical sales order and to establish compliance management in the pharmaceutical bio industry through case analysis including the Fair Trade Act and exchanges with patient organizations.

The Korea Pharmaceutical and Bio-Pharma Manufacturers Association announced on the 23rd that it held the ‘2022 First Half KPBMA Ethical Management Workshop’ on the 20th at Nest Hotel in Incheon. About 300 people attended the event, including compliance officers of pharmaceutical companies, CP (Compliance Program) team leaders, and practitioners.

At the workshop, Jeong-hyun Yeo, an officer of the Pharmaceutical Policy Division at the Ministry of Health and Welfare, gave a presentation titled ‘Pharmaceutical Policy Trends Related to Pharmaceutical Sales Order,’ diagnosing the flow of major rebate regulation policies, the mandatory reporting of expenses by Contract Sales Organizations (CSO), and anticipated issues arising from this.

In particular, regarding the CSO expense report preparation to be applied from next year, pharmaceutical suppliers (pharmaceutical companies) need to be cautious as they may be jointly punished if they neglect the management obligations of CSOs.

Additionally, presentations were made on ▲ studies of domestic and international pharmaceutical industry expense reports and violations of regulations ▲ medical devices, health functional food business and CP issues ▲ recent cases of Fair Trade Act application to the pharmaceutical industry ▲ CP issues related to activities targeting patients and patient organizations ▲ National Tax Service tax audits and compliance-related issues.

Won Hee-mok, chairman of the Korea Pharmaceutical and Bio-Pharma Manufacturers Association, said, “To leap forward as a global pharmaceutical bio powerhouse, securing public trust based on ethical management is the top priority,” adding, “We hope this workshop will lead to establishing transparency in the domestic pharmaceutical bio industry and strengthening the pharmaceutical sales order.”