^{Prati-Donaduzzi's CFO, Marcelo Sáfadi Alvares, during the 4th edition of the Abradilan Forum. Photo: Disclosure}

Prati-Donaduzzi’s chief financial officer, Marcelo Sáfadi Alvares, presented the offer model of credit and collection adopted by Parana´s pharmaceutical industry, whose aim is to have one of the lowest payment defaults in the sector, during the 4th edition of Abradilan Forum for Business Development last week in Sao Paulo.

The CFO explained that because the screening services currently offered do not guarantee 100% risk reduction, neither in Brazil nor anywhere else in the world, the company has adopted rules that helped reduce the chance of loss. These include assessing Prati's customer time, market behavior and any restrictions.

Nevertheless, the first step, according to Alvares, is to raise the amount that could be put at risk. Another alternative is to offer shorter deadlines, in addition to providing attractive discounts for advance payment. More severe collection mechanisms are other options to help increase payments. Currently, delinquency among pharmaceutical companies reaches 4%.

If in doubt, there are close dialogues among the credit, collection and sales sectors to bring together what is best for the company and the customer.

“We work closely with the credit, collection and sales sectors to evaluate the best way to serve all customers considering market variables and those internally adopted by Prati and, consequently, to offer a personalized service”, explained the director.

^{If in doubt, there are close dialogues among the credit, collection and sales sectors to bring together what is best for the company and the customer.Photo: Disclosure}

Taxes

In his presentation, Alvares also addressed the differences in drug tax rates practiced in Brazil and worldwide. Currently, the average rate on medicines practiced in the Brazilian states is 17%. When adding to federal taxes (PIS and COFINS), they might reach 28%.

In other countries, drug taxation can reach 0%, which is the case of Russia, the United Kingdom and Canada. There, medicines are tax-free. In Chile, it reaches 19%; in China 16%, in the United States 6%; in Japan 5% and in India 4%.

According to the CFO, reducing the tax burden and simplifying tax collection by matching first-world countries is important to having a solid national industry capable of achieving levels of development practiced in other countries around the world. After all, medications are a health asset.

For the president of Abradilan, Vinicius Andrade, the debates provided the development of the entire pharmaceutical chain. “We bring together industry representatives and distributors. It was a time to discuss ideas that could raise the standards of products and services for the market. ”

The Forum

Approximately 230 people, including associates, collaborating partners and representative entities such as Abradimex, Abafarma and Ascoferj, attended the event.

The Brazilian Association of Distribution and Logistics of Pharmaceutical Goods, an entity formed by 138 companies distributing medicines and hygiene, beauty and nutrition products, promoted the Forum.