Eurasian Economic Union To Establish Medical Agency & Health Resort Integration
Eurasian Health Resort Ring Project To Be Implemented: Opportunities for foreign investors in medical tourism, health resorts and pharmaceuticals
The Eurasian Economic Union (EAEU) is planning to fast track a Eurasian Medical Agency to permit unified and faster response times when dealing with pharmaceuticals and other medical requirements. At present, drugs must be individually licensed for use in each of the five member States, which is time consuming and can delay treatments. The EAEU is studying the European Union model to assess how to implement the procedures, however it is intended that this process is in place by 2025. It will benefit international pharmaceutical and related manufacturers who will be able to service this market of 180 million people via one application per product.
The EAEU has also announced a joint project involving cooperation in medical tourism, which is being developed into the Eurasian Health Resort Ring integration project. This has been designed to coordinate expert, financial, digital, and non-financial support to participants of sanatorium treatment and recreation industry of each of the EAEU member states – Armenia, Belarus, Kazakhstan, Kyrgyzstan, and Russia – within the framework of a partnership ecosystem.
It will be implemented by the National Resort Association and the organizing committee of the Regions-Sustainable Development contest on Russia’s behalf, the National Resort Association (Kazakhstan) and the Association of Resorts of Kyrgyzstan. Belarus is taking part in the project through its National Center for Recuperation and Health Resort Treatment.
Over 4,200 organizations, facilities and associated participants are to be part of the Eurasian Health Ring project, which is to operate hand in hand with the new medical agency protocols. Over 3 million patients visited sanatoriums and health recreation facilities each year prior to the Covid-19 pandemic.
The Health Ring project is being driven by the EAEU Development Center, a platform for business dialogue, initiation and development of joint Eurasian integration projects, cooperation, technology transfer and building other business cooperation between the EAEU member states.
Alexander Mundt, head of the EAEU Development Center, said that “Eurasian partnership in health resort treatment and recreation has been designed as part of the request from the business community that suffered from the restrictive measures imposed during the pandemic. The project involves not only the restoration of client flows at previous levels, but also the provision of comprehensive support to the participants and partners of the project, the national government agencies. It will be aimed at modernization and renovation of the facilities, commissioning of modern room stock, digitalization of processes, and improving the quality of services.”
Anna Belichenko, Chair of the Organizing Committee has stated that “One of the objectives of the Eurasian Health Resort Ring is to improve the quality of project management and the availability of project financing. We are happy to have this opportunity to expand partnership with the EAEU states and ‘export’ Russian experience to the members of the Eurasian Economic Union.”
Alexander Razumov, the President of the Russian National Resort Association added that cooperation within the project also involves assistance in attracting funding to improve service, upgrade infrastructure and room stock, technological upgrade of health resorts in the EAEU countries as part of a one-shop stop principle.
Gennady Bolbatovsky, a director of Director of the Russian National Center for Recuperation and Health Resort Treatment said “The Eurasian Health Resort Ring is an important integration project. It will contribute to the implementation of joint Eurasian integration projects in health resort treatment and recreation, strengthen cooperation between medical tourism facilities, promote exchange of experience, attract new consumers of health and recreational services, improve the health and recreational infrastructure, and create prerequisites for further improvement of activities of health resort and recreational organizations, stronger competitiveness in the international recreational market, development of marketing mechanisms and digitalization of the health product, its better quality.”
Foreign investors from India and Japan could be among those poised to benefit. India, the world’s largest pharmaceutical manufacturer, also produces wellness health products such a supplements; and is currently negotiating a free trade agreement with the EAEU. Japan’s Marubeni Corp have entered a JV with Russian railways to provide medicare clinics along the Russian railway routes. The R&M Medical Center LLC has been registered in Khabarovsk in Russia’s Far East to create a Russian Japanese center for preventive medicine and diagnostics. The project involves the creation of high-tech medical centers using Japanese technology, admission methods and patient diagnosis in all categories, including patients under the compulsory medical insurance program. The total investment in the project has exceeded US$13.7 million.
Russia Briefing is written by Dezan Shira & Associates. The firm has 28 offices throughout Eurasia, including China, Russia, India, and the ASEAN nations, assisting foreign investors into the Eurasian region. Please contact Maria Kotova at firstname.lastname@example.org for Russian investment advisory or assistance with market intelligence, legal, tax and compliance issues throughout Asia.