Cuba Raises Prices of Natural and Traditional Medicine Products

The gobierno Cuban government has announced price increases for products under its Natural and Traditional Medicine Program as part of broader economic correction measures. The move, which took effect on Friday, aims to reduce state subsidies and make the program more financially sustainable.

Why this matters: This decision reflects Cuba's efforts to address its economic challenges and could have a ripple effect on the country'shealthcare system and citizens' access to affordable medicine. As Cuba navigates its economic correction measures, the impact of such decisions on the population's well-being will be closely watched.

Under the new pricing scheme, the Ministry of Finance and Prices has authorized provincial governors to set retail prices of up to 50 Cuban pesos for locally prepared natural and traditional medicine products. Items such as shampoo, mouthwash, and creams will now be sold at maximum prices ranging from 24 to 50 Cuban pesos.

The government justified the price hikes, arguing that the previous prices were "irrational" and "practically symbolic" compared to current manufacturing costs. However, the measure does not apply to products officially recognized as medicines by the Center for State Control of Medicines, Equipment and Medical Devices, such as PPG, Oleozon, and Trofín.

Vladimir Regueiro Ale, head of Finance and Prices, explained the rationale behind the decision, stating,"This measure fundamentally aims to reduce the participation of the State Budget subsidy in this activity, as well as make the Program sustainable and able to cover its costs and expenses."

Last year, the Cuban government allocated 1 billion pesos from the state budget to produce natural medicine. With the new pricing policy in place, the state subsidy is expected to decrease to 300 million pesos, with the Natural and Traditional Medicine Program shouldering more of its own costs.

The price increases come as Cuba grapples with growing inflation and economic challenges. The Natural and Traditional Medicine Program, a key component of the country's healthcare system, is expected to feel the impact of these changes. As the government implements measures to correct economic distortions and boost the economy, Cubans may need to adjust to higher prices for these popular natural and traditionalremedies.

Key Takeaways

• Cuban government increases prices of natural and traditional medicine products.
• New prices range from 24 to 50 Cuban pesos for locally prepared products.
• Measure aims to reduce state subsidies and make program financially sustainable.
• State subsidy to decrease from 1 billion to 300 million pesos.
• Price hikes may impact Cuba's healthcare system and citizens' access to affordable medicine.