IMPLEMENTATION LEVEL

National

AFFECTED FLOW

Inflow

ANNOUNCED AS TEMPORARY

No

NON-TRADE-RELATED RATIONALE

No

ELIGIBLE FIRMS

all

JUMBO

No

TARIFF PEAK

No
← back to the state act
Inception date: 04 Apr 2012 | Removal date: 03 Apr 2017
Still in force

Public procurement preference margin

On 3 April 2012, the Brazilian government decided in Decree no. 7.713 to apply a margin of preference of 8% to 25% for the public procurement of nationally produced pharmaceutical drugs and biological medical products.
 
This means that a domestic producer will be preferred by the government if the contractor offers a price that is within the range of the lowest bid by a foreign company plus the preferential margin. Brazil's preferential margins scheme was introduced by Law no.12.349/2010 in the realm of the Plano Brasil Maior, i.e., Greater BrazilPlan (see Related Measures).
 
The decree stipulates that medical drugs of national or partial-national production have a margin of preference of 20%, while medications that are still being developed or that are soon going to be produced received a margin of 8%. There is also an additional margin of 5% for products that are based on domestic technological development and innovation.
 
The measure, Decree no. 7.713, came into power on 4 April 2012. The effective periods vary depending on the group of products:

  • goods which have been produced in the country (group 1) until 30 March 2014
  • goods which have been developed and produced in the country (groups 2 to 6) until 30 March 2017

 
Update
On 3 April 2014, Decree no. 8.225 extended the period for products belonging to group 1 until 31 December 2015, starting 30 March 2014.

AFFECTED COUNTRIES

MAP
TABLE
EXPORT

AFFECTED SECTORS AND PRODUCTS

341 Basic organic chemicals
2922 Oxygenfunction aminocompounds.
292211 Monoethanolamine and its salts
292212 Diethanolamine and its salts
292219 Other
292221 Aminohydroxynaphthalenesulphonic acids and their salts
292229 Other
292249 Other
292250 Aminoalcoholphenols, aminoacidphenols and other amino compounds with oxygen function
2933 Heterocyclic compounds with nitrogen heteroatom(s) only.
293329 Other
293333 Alfentanil (INN), anileridine (INN), bezitramide (INN), bromazepam (INN), difenoxin (INN), diphenoxylate (INN), dipipanone (INN), fentanyl (INN), ketobemidone (INN), methylphenidate (INN), pentazocine (INN), pethidine (INN), pethidine (INN) intermediat
293339 Other
293349 Other
293361 Melamine
293371 6Hexanelactam (epsiloncaprolactam)
293372 Clobazam (INN) and methyprylon (INN)
293379 Other lactams
293391 Alprazolam (INN), camazepam (INN), chlordiazepoxide (INN), clonazepam (INN), clorazepate, delorazepam (INN), diazepam (INN), estazolam (INN), ethyl loflazepate (INN), fludiazepam (INN), flunitrazepam (INN), flurazepam (INN), halazepam (INN), lorazepam
293399 Other
2934 Nucleic acids and their salts, whether or not chemically defined; other heterocyclic compounds.
293410 Compounds containing an unfused thiazole ring (whether or not hydrogenated) in the structure
293420 Compounds containing in the structure a benzothiazole ring system (whether or not hydrogenated), not further fused
293499 Other
3507 Enzymes; prepared enzymes not elsewhere specified or included.
350710 Rennet and concentrates thereof
350790 Other
342 Basic inorganic chemicals n.e.c.
2833 Sulphates; alums; peroxosulphates (persulphates).
283311 Disodium sulphate
283324 Of nickel
283327 Of barium
283329 Other
283340 Peroxosulphates (persulphates)
347 Plastics in primary forms
3912 Cellulose and its chemical derivatives, not elsewhere specified or included, in primary forms.
391211 Nonplasticised
391220 Cellulose nitrates (including collodions)
391231 Carboxymethylcellulose and its salts
391239 Other
391290 Other
352 Pharmaceutical products
2922 Oxygenfunction aminocompounds.
292241 Lysine and its esters; salts thereof
2933 Heterocyclic compounds with nitrogen heteroatom(s) only.
293311 Phenazone (antipyrin) and its derivatives
293319 Other
293321 Hydantoin and its derivatives
293359 Other
293369 Other
2934 Nucleic acids and their salts, whether or not chemically defined; other heterocyclic compounds.
293430 Compounds containing in the structure a phenothiazine ring system (whether or not hydrogenated), not further fused
2935 Sulphonamides.
293500 Sulphonamides.
2937 Hormones, prostaglandins, thromboxanes and leukotrienes, natural or reproduced by synthesis; derivatives and structural analogues thereof, including chain modified polypeptides, used primarily as hormones.
293712 Insulin and its salts
293721 Cortisone, hydrocortisone, prednisone (dehydrocortisone) and prednisolone (dehydrohydrocortisone)
293722 Halogenated derivatives of corticosteroidal hormones
293723 Oestrogens and progestogens
293729 Other
293750 Prostaglandins, thromboxanes and leukotrienes, their derivatives and structural analogues
293790 Other
2941 Antibiotics.
294110 Penicillins and their derivatives with a penicillanic acid structure; salts thereof
294120 Streptomycins and their derivatives; salts thereof
294130 Tetracyclines and their derivatives; salts thereof
294140 Chloramphenicol and its derivatives; salts thereof
294150 Erythromycin and its derivatives; salts thereof
294190 Other
3001 Glands and other organs for organotherapeutic uses, dried, whether or not powdered; extracts of glands or other organs or of their secretions for organotherapeutic uses; heparin and its salts; other human or animal substances prepared for therapeutic or
300120 Extracts of glands or other organs or of their secretions
300190 Other
3002 Human blood; animal blood prepared for therapeutic, prophylactic or diagnostic uses; antisera, other blood fractions and immunological products, whether or not modified or obtained by means of biotechnological processes; vaccines, toxins, cultures of micr
300210 Antisera, other blood fractions and immunological products, whether or not modified or obtained by means of biotechnological processes
300220 Vaccines for human medicine
300230 Vaccines for veterinary medicine
300290 Other
3004 Medicaments (excluding goods of heading 30.02, 30.05 or 30.06) consisting of mixed or unmixed products for therapeutic or prophylactic uses, put up in measured doses (including those in the form of transdermal administration systems) or in forms or packin
300410 Containing penicillins or derivatives thereof, with a penicillanic acid structure, or streptomycins or their derivatives
300420 Containing other antibiotics
300431 Containing insulin
300432 Containing corticosteroid hormones, their derivatives or structural analogues
300439 Other
300440 Containing alkaloids or derivatives thereof but not containing hormones, other products of heading 29.37 or antibiotics
300450 Other medicaments containing vitamins or other products of heading 29.36
300490 Other
354 Chemical products n.e.c.
3503 Gelatin (including gelatin in rectangular (including square) sheets, whether or not surfaceworked or coloured) and gelatin derivatives; isinglass; other glues of animal origin, excluding casein glues of heading 35.01.
350300 Gelatin (including gelatin in rectangular (including square) sheets, whether or not surfaceworked or coloured) and gelatin derivatives; isinglass; other glues of animal origin, excluding casein glues of heading 35.01.
389 Other manufactured articles n.e.c.
9602 Worked vegetable or mineral carving material and articles of these materials; moulded or carved articles of wax, of stearin, of natural gums or natural resins or of modelling pastes, and other moulded or carved articles, not elsewhere specified or include
960200 Worked vegetable or mineral carving material and articles of these materials; moulded or carved articles of wax, of stearin, of natural gums or natural resins or of modelling pastes, and other moulded or carved articles, not elsewhere specified or include

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