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    P O L I C Y
EU Legislative Process--- Key Steps and Majority Rules

The VIIth amendment to the Cosmetics Directive ---- the institutional game: The legislative process concerning the VIIth amendment to the cosmetics directive has been going on since the beginning of 2001. By mid May of this year, the institutions were working out a common position (i.e. the conclusion of the first reading). The explanatory notes and Figure t right are an attempt to represent, I a simple manner, the entire process.

A Commission proposal for a piece of legislation submitted to the same rules as the VIIth amendment follows basically two paths: one is the European Parliament, and the other is Member States. The two paths cross at the end of each of the two or three readings. The accompanying commentary summarizes the process and indicates the applicable majority rules, which may play an important role, especially in the second d reading. The reader will hopefully gain a better understanding of the complexities of the process, perhaps concluding that the European legislative engine is a sophisticated one.

1st reading
  1. The votes of the competent European Parliament Committee (EP Cttee) require a simple majority of the Members of the European Parliament (MEPs) present when the votes take place;
  2. The decisions of the European Parliament also require a simple majority (if 400 out of 626 MEPs are present, the simple majority is 201 votes);
  3. After the EP plenary vote and before the Common Position (CP) is adopted, the Commission usually publishes an amended proposal that includes all amendments carried by the EP and acceptable to the Commission;
  4. During the process at the EP, the Council Working Group examines the Commission proposal and prepare the decision (=CP) to be taken by the Ministers. If the CP follows the amended Commission proposal, its adoption requires a qualified majority vote of the Member States Any deviation from the amended Commission proposal requires a unanimous vote of the Member States.
2nd Reading
  1. l The competetent EP Cttee can adopt amendments to the CP. No amendment can be proposed on matters that could have been dealt with during the first reading. As in the first reading, the amendments require a simple majority vote;
  2. The EP Cttee vote is followed by a EP plenary vote. The EP has three options:
Option 1
The EP can approve the CP without amendments: the act will be deemed to have been adopted in accordance with the CP.

Option 2
The EP can, by an absolute majority of its component members (314 out of 626), reject the CP: the proposed act will be deemed not to have been adopted.

Option 3
The EP plenary can vote amendments to the CP by an absolute majority of its components members (314 votes out of 626):

  1. The Council-still advised by the Council Working Group-can then adopt the act with all amendments of the EP by a qualified majority if the Commission supports these amendments, by a unanimous vote in the case of amendments opposed by the Commission;
  2. If the Council does not support at least one amendment adopted by the EP, the Conciliation procedure starts (see below 3rd reading)
3rd Reading Digiscents
A conciliation Committee (CC) is convened by the President of the Council, in agreement with the President of the EP. The CC is composed of one representative per Member State (15) and of 15 MEPs. Their mission is to reach an agreement on a joint text. The joint text is then submitted to the Council and to the EP: if either institution does not approve the joint ext (by a simple majority vote at the EP, by a qualified majority vote at the Council), the proposed act will be deemed not to have been adopted. The same applies if the CC cannot agree on a joint text.



SAFETY CONCERNS & TESTING FRAGRANCE MATERIALS

"A substance can be in wide spread use for more than 20 years before any testing occurs outside the company producing the material."

By Betty Bridges, RN bcb56@ix.netcom.com

The Research Institute for Fragrance Materials (RIFM) is responsible for testing the safety of raw materials. The RIFM is a major facet of the self-regulatory process of the fragrance industry.

According to Richard Ford, Ph.D. of the RIFM


"Over the approximately 30 years since its inception, RIFM has tested virtually all important fragrance materials in common use. (It has always been the policy of RIFM that if a material is used by only one company, it is that company's responsibility to see that the material is adequately tested and evaluated.)" (Richard A. Ford, "RIFM Activities in the Safety Assessment of the Dermal Effects" page 184 of the book Fragrances: Beneficial and Adverse Effects)

This is quite a surprising statement since only around 1300 of the more than 3000 materials in use have been tested. The clarifying statement in parenthesis raises further concerns over the extent of the RIFM's testing.

While fragrance formulas may not be patented, fragrance chemicals may be. During the time the patent is in force, the company holding the patent normally has control over the production of the materials. A patent is generally in force for around 20 years; the actual time may vary depending on the country the patent is filed in.

The company owning a fragrance patent can solely use the material in perfumes or fragrance it produces or use in bases it sells to other companies. So even though one company owns the patent and controls use of the material, it may be present in a great number of products and widely used.

Eliminating testing of proprietary materials means a substance can be in wide spread use for more than 20 years before any testing occurs outside the company producing the material. Once the material is in the public domain, it is very likely to be assumed to be safe since it has been in use for some time. In addition the testing data from the company developing the material will often be used for evaluating the material. There is a highly probably that there will be no independent testing of the material by the RIFM.

Additionally, the industry is continually developing new materials. The RIFM program also involves review and evaluation of such materials as they come into general use. It is generally expected, however that the company that has developed such materials will provide the necessary test data for proper evaluation" (Richard A. Ford, "RIFM Activities in the Safety Assessment of the Dermal Effects" page 188 of the book Fragrances: Beneficial and Adverse Effects)

Acetylethyltetramethyltetralin (AETT) was a proprietary chemical that was put into use in the 1950s. In 1975 after the patent expired and it was in general use it was found to be severely neurotoxic. During routine testing of a product, it was repeatedly applied to the skin of mice to determine its irritancy. It was discovered that the skin of the mice had a bluish tint and the mice showed signs of neurotoxicity. Though AETT was in widespread use the neurotoxic potential of the material was discovered by accident. Even if the material had been tested by the RIFM, it is doubtful that their testing methods would have detected the adverse effects of the chemical. It was only after the discovery of the skin penetration of AETT that the RIFM and others realized that the skin was only a limited barrier and many materials were able to penetrate it. In spite of this realization, the RIFM still does not routinely test for systemic effects.

Testing by the RIFM

RIFM testing revolves around the effects on the skin. Even though the focus is on skin testing, these test results do not always coincide with what is reported by dermatologists. Testing methods have shortcomings and do not duplicate conditions that are experienced with actual use of the products. The most frequent adverse skin reaction to fragrances is allergic reactions. It is estimated that 1-2% of the population has skin allergies to fragrances.

In order to screen for skin sensitization and the potential for causing skin allergies the Human Repeat Insult Patch Test (HRIPT) is used. A 24-hour patch is applied on Monday, Wednesday, and Fridays for a three-week period of time. There is a two-week rest period and then a single 24-hour challenge patch. Generally the concentration of the patch testing is at ten times the level of use of the material in finished products. 25 participants are tested.

Repeated exposures may be more of a factor in sensitization than the level of exposure. Nine days within a three-week period does not duplicate the exposure that comes from months and often years of use. Amylcinnamaldehyde and hexylcinnamaldehyde have been established as sensitizers by dermatologists. Yet testing by the RIFM has not revealed these materials to be sensitizers.

Amylcinnamaldehyde and hexylcinnamaldehyde are widely used in laundry products and other things with a wet application. They are often present in shampoos, deodorants, and lotions. There is frequent exposure to these materials at higher levels than in the past. So even if they are relatively weak sensitizers, the amount and frequency of exposure could make them more problematic than a material that had higher sensitizing potential but was used much less.

Photosensitivity and phototoxic effects are also of concern. Absorption through the skin and accumulation in body tissue raises concerns for systemic and long-term effects. The testing by the RIFM selectively addresses these issues, usually after they have been discovered by dermatologists. In reality the testing of the RIFM rarely does anything more than confirm several years later what the dermatology community already knew.

Now concerns are being raised concerning effects and routes of exposure other than those pertaining to skin. More and more questions are arising related to respiratory, neurological, and systemic effects. At present the RIFM is not addressing these concerns. If history repeats itself they will not address these issues until the medical community proves there is a problem.

The RIFM loudly proclaims it has tested virtually all of the important materials in use and yet materials are in use twenty years or more before testing is even conducted. These newer materials are used at much higher levels. Synergistic effects are not considered. Materials are tested individually. Only selected routes of exposure and adverse effects are tested. In effect the human population has been the testing grounds for fragrance materials and informed consent was not obtained.

Source: http://www.flipside.org/vol2/oct99/99oc22a.htm



Regulations of PRC on the Administration of the Controlled Chemicals


(Promulgated by Decree No.190 of the State Council of the People's Republic of China, and effective as of the date of promulgation)

Article 1

These Regulations are formulated for the purpose of strengthening the administration of the controlled chemicals, safeguarding the personal safety of the citizens and protecting the environment.

Article 2

All those who engage in the production, marketing and use of the controlled chemicals within the territory of the People's Republic of China shall abide by these Regulations.

Article 3

The controlled chemicals referred to in these Regulations mean the following schedules of chemicals:

Schedule 1: chemicals which can be used as chemical weapons;

Schedule 2: chemicals which can be used as the precursors of manufacturing chemical weapons;

Schedule 3: chemicals which can be used as main materials of manufacturing chemical weapons;

Schedule 4: discrete organic chemicals except for explosives and pure hydrocarbon compounds.

The list of the controlled chemicals outlined in the preceding paragraph shall be put forward to by the competent department of the chemical industry of the State Council and shall be promulgated after being submitted to and approved by the State Council.

Article 4

The competent department of the chemical industry authority of the State Council shall be responsible for the national-wide administration of the controlled chemicals. The competent department of the chemical industry of the people's government of the province, autonomous region or municipality directly under the Central Government shall be responsible for the administration of the controlled chemicals in its respective region.

Article 5

Anyone who engages in production, distribution or use of controlled chemicals shall, in accordance with these Regulations and the relevant provisions of the State, submit to the competent department of the chemical industry of the State Council or the competent department of the chemical industry of the people's government of province, autonomous region and municipality directly under the Central Government the relevant materials, data and purpose of use concerning the production, distribution or use of the controlled chemicals and shall be subject to the inspection and supervision of the competent department of the chemical industry.

Article 6

The State controls shall strictly administer the production of Schedule 1 chemicals.

The application for production of Schedule 1 chemicals for the purposes of scientific research, medical treatment, pharmaceutical production or protection shall be submitted to the competent department of the chemical industry of the State Council for approval, and such production shall be conducted in small-sized facilities which are designated by the competent department of the chemical industry of the State Council.

The production of Schedule 1 chemicals is strictly prohibited in those facilities which are not designated by the competent department of the chemical industry of the State Council.

Article 7

The State shall practice the system of special permission granted for the production of Schedules 2 and 3 chemicals and of Schedule 4 discrete organic chemicals containing phosphorous, sulfur and fluorine. Without special permission, no units or individuals may produce such controlled chemicals. The measures for the special permission shall be made by the competent department of the chemical industry of the State Council.

Article 8

The application for the construction of a new or extended or rebuilt facility for producing Schedule 2 or 3 chemicals and Schedule 4 discrete organic chemicals containing phosphorous, sulfur and fluorine shall be filed with the competent department of the chemical industry of the local people's government of the province, autonomous region or municipality directly under the Central Government, and after its examination and recommendation, shall be submitted to the competent department of the chemical industry of the State Council for approval. The construction of the facility may be commenced only after being approved by the department. The completed facility may be delivered for use in production only after passing the acceptance inspection of the competent department of the chemical industry of the local people's government of the province, autonomous region or municipality directly under the Central Government and obtaining the approval of the competent department of the chemical industry of the State Council.

Before its commencement, the construction of a new or extended or rebuilt facility for producing Schedule 4 discrete organic chemicals containing phosphorous, sulfur or fluorine shall be reported for the record to the competent department of the chemical industry of the local people's government of the province, autonomous region or municipality directly under the Central Government.

Article 9

The controlled chemicals shall be stored in the chemical warehouse for the special purpose and managed by the designated persons. The conditions for storing the controlled chemicals shall comply with the relevant provisions of the State.

Article 10

Any unit which stores the controlled chemicals shall set up the system of strict inspection of warehouse entry and exit and record system. If finding that a controlled chemical is lost or stolen, a report of the matter shall, without delay, be made to the local public security organ and the competent department of the chemical industry of the local people's government of the province, autonomous region or municipality directly under the Central Government; which shall render an active cooperation with the public security organ for investigation and punishment.

Article 11

The deteriorated expired controlled chemicals shall be disposed of in time. Such disposition shall be conducted after being approved by the competent department of the chemical industry of the local people's government of the province, autonomous region or municipality directly under the Central Government.

Article 12

Anyone who intends to use Schedule 1 chemicals for scientific research, medical treatment, pharmaceutical production or protection purposes shall submit an application to the competent department of the chemical industry of the State Council, and upon the approval of the latter and by presenting the approval document, shall conclude a contract with the production unit designated by the competent department of the chemical industry of the State Council, and shall submit the copy of the contract for the record to the competent department of the chemical industry of the State Council.

Article 13

Anyone who intends to use Schedule 2 chemicals shall submit an application to the competent department of the chemical industry of the local people's government of the province, autonomous region or municipality directly under the Central Government, and upon the approval of the latter and by presenting the approval document, shall conclude a contract with the distribution unit designated by the competent department of the chemical industry of the State Council, and shall submit the copy of the contract for the record to the competent department of the chemical industry of the local people's government of the province, autonomous region or municipality directly under the Central Government.

Article 14

The units designated by the competent department of the chemical industry of the State Council jointly with the competent department of the foreign economic cooperation and trade of the State Council (hereinafter referred as the designated units) may engaged in import and export activities of Schedule 1 chemicals and Schedules 2 and 3 and their manufacturing technology and specialized equipment.

Anyone who intends to import or export Schedule 1 chemicals under and Schedules 2 and 3 and their manufacturing technology and specialized equipment should entrust a designated unit with the agency of such import or export. No unit or individual may be engaged in such import and export activities, with the exception of the designated units.

Article 15

The State shall strictly administer the import and export of Schedule 1chemicals. No Schedule 1 chemicals may be imported except for the purposes of scientific research, medical treatment, pharmaceutical production and protection.

The designated unit which is entrusted with the importation of Schedule 1 chemicals shall submit an application and the end-use statement and certifying documents of the products to the competent department of the chemical industry of the State Council, and after the examination and recommendation of the said department, shall submit the application to the State Council for approval. The designated unit shall, by presenting the approval documents of the State Council, apply for the import license to the competent department of the foreign economic cooperation and trade of the State Council.

Article 16

The designated unit which is entrusted with the importation of Schedules 2 and 3chemicals and their manufacturing technology and specialized equipment shall submit an application and the end-use statement and certifying documents of the imported chemicals, manufacturing technology and equipment to the competent department of the chemical industry of the State Council. Upon approval of the said department, the designated unit shall, by presenting the document of the competent department of the chemical industry of the State Council, apply for the import license to the competent department of the foreign economic cooperation and trade of the State Council.

Article 17

The designated unit which is entrusted with the exportation of Schedule 1 chemicals shall submit to the competent department of the chemical industry of the State Council an application and the written guarantee of the government or its authorized agency of the importing country which confirms that the imported chemicals shall only be used for scientific research, medical treatment, pharmaceutical production and protection and shall not be re-exported to a third country; and after the examination and recommendation of the said department, shall submit the application to the State Council for approval. The designated unit shall, by presenting the approval document of the State Council, apply for export license to the competent department of the foreign economic cooperation and trade of the State Council.

Article 18

The designated unit which is entrusted with the exportation of Schedule 2 or 3 chemicals and their manufacturing technology and specialized equipment shall submit to the competent department of the chemical industry of the State Council an application and the written guarantee of the government or its authorized agency of the importing country which confirms that the imported chemicals, manufacturing technology and equipment shall not be used in manufacturing chemical weapons and shall not be re-exported to a third country. Upon approval of the said department, the designated unit shall, by presenting the approval document of the competent department of the chemical industry of the State Council, apply for export license to the competent department of the foreign economic cooperation and trade of the State Council.

Article 19

The use of the controlled chemicals shall be consistent with the purpose applied for. Any change of the purpose of use shall, if needed, be submitted to the original approving organ for approval.

Article 20

Those using Schedules 1 and 2 chemicals shall, in accordance with the relevant provisions of the State, report regularly to the local competent department of the chemical industry of the people's government of provinces, autonomous regions and municipalities directly under the State Council on the quantity of the controlled chemicals they used and the quantity of end products they made from such controlled chemicals.

Article 21

Anyone who, in violation of the provisions of these Regulations, produces the controlled chemicals shall be ordered to make correction within the time limit by the competent department of the chemical industry of the people's government of the province, autonomous region and municipality directly under the State Council, and if failing to make correction within the specified time limit, shall be imposed a fine of less than 200,000 yuan, and if the circumstances are serious, may be ordered to stop the production for rectification by the people's government of the province, autonomous region and municipality directly under the State Council .

Article 22

Anyone who, in violation of the provisions of these Regulations, uses the controlled chemicals, shall be ordered to make correction within the time limit by the competent department of the chemical industry of the people's government of the province, autonomous region and municipality directly under the State Council, and if failing to make correction within the specified time limit, shall be imposed a fine of less than 50,000 yuan .

Article 23

Anyone who, in violation of the provisions of these Regulations, markets the controlled chemicals, shall be subject to confiscation of the controlled chemicals he distributed illegally and his illegal income and a fine of more than one time and less than two times the total illegal turnover.

Article 24

Anyone who, in violation of the provisions of these Regulations, hides or refuses to report the information or data pertaining to the controlled chemicals or impedes or obstructs the exercise of the inspection and supervision duty by the competent department of the chemical industry in accordance with the provisions of these Regulations, shall be imposed a fine of less than 50,000 yuan by the competent department of the chemical industry of the people's government of the province, autonomous region and municipality directly under the State Council.

Article 25

Anyone who, in violation of the provisions of these Regulations, commits an act contravening the public security administration, shall be punished in accordance with the provisions of the Regulations of the People's Republic of China on Administrative Penalties for Public Security. If a crime is constituted, his criminal responsibility shall be investigated according to law.

Article 26

Those who, prior to the implementation of these Regulations, have already engaged in production, marketing or use of controlled chemicals, shall go through the relevant formalities in accordance with the provisions of these Regulations.

Article 27

These Regulations shall enter into force as of the date of promulgation.



PHARMACEUTICAL ADMINISTRATION LAW OF THE PEOPLE'S REPUBLIC OF CHINA

Important Notice:
This English document is coming from the "LAWS AND REGULATIONS OF THE PEOPLE'S REPUBLIC OF CHINA GOVERNING FOREIGN-RELATED MATTERS" (1991.7) which is compiled by the Brueau of Legislative Affairs of the State Council of the People's Republic of China, and is published by the China Legal System Publishing House. In case of discrepancy, the original version in Chinese shall prevail.

Whole Document
PHARMACEUTICAL ADMINISTRATION LAW OF THE PEOPLE'S REPUBLIC OF CHINA
(Adopted at the Seventh Meeting of the Standing Committee of the Sixth National People's Congress, promulgated by Order No. 18 of the President of the People's Republic of China on September 20, 1984, and effective as of July 1, 1985)

Contents

Chapter I General Provisions
Chapter II Administration of Pharmaceutical Producing Enterprises
Chapter III Administration of Pharmaceutical Trading Enterprises
Chapter IV Administration of Pharmaceuticals at Medical Units
Chapter V Pharmaceutical Administration
Chapter VI Packaging and Repackaging of Pharmaceuticals
Chapter VII Pharmaceuticals Under Special Control
Chapter VIII Administration of Trademarks and Advertisements of
Pharmaceuticals
Chapter IX Supervision over Pharmaceuticals
Chapter X Legal Responsibility
Chapter XI Supplementary Provisions

Chapter I General Provisions

Article 1
This Law is formulated with a view to enhancing the supervision and control of pharmaceuticals, ensuring their quality, improving their curative effects, guaranteeing safety in medication and safeguarding the health of the people.

Article 2
The administrative department of health under the State Council shall be responsible for the supervision and control of pharmaceuticals throughout the country.

Article 3
The state shall develop both modern and traditional medicines and give full play to their role in the prevention and treatment of diseases and in health care. The state shall protect the resources of wild medicinal materials and encourage the domestic cultivation of Chinese traditional medicinal crops.

Chapter II Administration of Pharmaceutical Producing Enterprises

Article 4
The establishment of a pharmaceutical producing enterprise must be sanctioned by the competent authorities for the production and trading of pharmaceuticals of the province, autonomous region, or municipality directly under the Central Government in which the enterprise is located, and approved by the administrative department of health of the same province, autonomous region or municipality, which will issue a Pharmaceuticals Producer Licence. The administrative authorities for industry and commerce shall not issue business licences to any enterprises producing pharmaceuticals without the Pharmaceutical Producer Licence. The Pharmaceutical Producer Licence shall have a period of validity, upon expiration of which a new licence shall be issued after an examination for its renewal. Detailed measures for the renewal of such licences shall be stipulated by the administrative department of health under the State Council.

Article 5
To establish a pharmaceutical producing enterprise, the following requirements must be met:

  • It shall be staffed with the necessary personnel required for producing the medicines concerned, that is, pharmacists or technical personnel with a qualification equivalent to or higher than assistant engineer as well as skilled workers. If an enterprise processing Chinese traditional medicines into ready-to-use mixture and powder forms does not have pharmacists or technical personnel with a qualification equivalent to or higher than assistant engineer, it shall be staffed instead with skilled pharmaceutical workers who are familiar with the properties of the medicines processed and are registered with the administrative department of health at or above the county level;
  • It shall have factory premises, facilities and a sanitary environment suitable for the medicines produced;
  • It shall have a unit or competent personnel capable of inspecting the quality of the medicines produced, as well as necessary instruments and equipment.
Aricle 6
Pharmaceuticals must be produced in accordance with the technological procedure, and the record of production must be complete and accurate. The process for preparing traditional Chinese medicines in ready-to-use forms must conform to the Pharmacopoeia of the People's Republic of China or the Processing Norms stipulated by the administrative departments of health of the provinces, autonomous regions, or municipalities directly under the Central Government;

Article 7
The raw and supplementary materials used for the production of pharmaceuticals and containers and packaging materials in direct contact with pharmaceuticals must conform to the requirements for medicinal use;

Article 8
Pharmaceuticals must go through quality inspection before they leave the factory; products which do not meet the standards shall not leave the factory;

Article 9

Pharmaceutical producing enterprises must draw up and carry out rules and regulations and sanitary requirements for ensuring the quality of pharmaceuticals in accordance with the Standards for Quality Control of Pharmaceutical Production stipulated by the administrative department of health under the State Council.

Chapter III Administration of Pharmaceutical Trading Enterprises

Article 10
The establishment of a pharmaceutical trading enterprise must sanctioned by the local competent authorities for the production and trading of pharmaceuticals and approved by the administrative department of health at or above the county level, which will issue a Pharmaceutical Trading Enterprise Licence. The administrative authorities for industry and commerce shall not issue business licences to any enterprises without the Pharmaceutical Trading Enterprise Licence. The Pharmaceutical Trading Enterprise Licence shall have a period of validity, upon expiration of which a new licence shall be issued after an examination for its renewal. Detailed measures for the renewal of such licences shall be stipulated by the administrative department of health under the State Council.

Article 11
To establish a pharmaceutical trading enterprise, the following requirements must be met:

  • It shall be staffed with pharmaceutical technicians qualified for the handling of the pharmaceuticals. If an enterprise trading in Chinese traditional medicines or an enterprise concurrently trading in medicines does not have pharmaceutical technicians, it shall be staffed instead with harmaceutical workers who are familiar with the properties of the medicines it trades in and are registered with the administrative department of health at or above the county level;
  • It shall have business premises, equipment, storage facilities and a sanitary environment suitable for the pharmaceuticals in which it trades.
Article 12
The quality of pharmaceuticals must be inspected on purchasing. Pharmaceuticals that do not meet the required standards must not be purchased.

Article 13
It is imperative, in the sale of pharmaceuticals, to be accurate and free of mistakes, and to provide correct directions for use, dosage and precautions. Prescriptions being dispensed must be checked.
Pharmaceuticals listed in prescriptions must not be presumptuously changed or substituted. Prescriptions containing incompatible substances or excessive dosages shall be rejected by the dispensary. If necessary, such prescriptions can be dispensed after they have been corrected or resigned by the doctors who wrote them out. When famous traditional Chinese medicinal materials are offered for sale, their origin must be indicated.

Article 14

Rules for storage of pharmaceuticals shall be formulated and implemented by pharmaceutical warehouses, which must adopt necessary measures to facilitate cold storage and protection against moisture, insects and rodents. An inspection system shall be carried out for pharmaceuticals entering or leaving warehouses.

Article 15

Unless otherwise stipulated by the state, traditional Chinese medicinal materials may be marketed at urban or rural fairs. Pharmaceuticals other than traditional Chinese medicinal materials may not
be sold at urban or rural fairs, except by those who have Pharmaceuticals Trading Enterprise Licences.

Chapter IV Administration of Pharmaceuticals at Medical Units

Article 16
Medical units must be staffed with pharmaceutical technical personnel commensurate with their medical functions. Non-pharmaceutical technical personnel may not engage directly in pharmaceutical technical work.

Article 17
To make medicinal preparations, a medical unit must be examined, approved and issued a Dispensing Permit by the administrative department of health of the province, autonomous region, or municipality directly under the Central Government in which the units is located. The Dispensing Permit shall have a period of validity, upon expiration of which a new permit shall be issued after an examination for its renewal. Detailed measures for the renewal of such permits shall be stipulated by the administrative department of health under the State Council.

Article 18
Medical units making medicinal preparations must be equipped with facilities, inspection instruments and sanitary conditions capable of ensuring the quality of the preparations.

Article 19
The quality of the medicinal preparations made by medical units must be inspected in accordance with relevant regulations and clinical needs. Those up to standard can be used as the doctor prescribes. Medicinal preparations made by medical units may not be sold on the market.

Article 20
Medical units must implement a system of quality inspection when purchasing pharmaceuticals.

Chapter V Pharmaceutical Administration

Article 21
The state encourages research on and development of new medicines. When working on a new medicine, it is necessary to submit, as required, the methods of production, quality indices, pharmacological and toxicological testing results, and other related materials and samples to the administrative department of health under the State Council or to the administrative department of health of the relevant province, autonomous region, or municipality directly under the Central Government. Clinical tests or clinical verifications can be carried out only after approval.

A new medicine which has completed its clinical tests or clinical verifications and been approved after appraisal shall be issued a certificate by the administrative department of health under the State Council.

Article 22
A new medicine can be put into production only after the administrative department of health under the State Council has approved it and issued a registered document of approval. However, this does not apply to the production of traditional Chinese medicines prepared in ready-to-use forms.

A medicine standardized by the state or by a province, an autonomous region, or a municipality directly under the Central Government shall be put into production only after the administrative department of health of the relevant province, autonomous region, or municipality directly under the Central Government has made an examination of the medicine, given it approval and issued a registered document of approval, seeking beforehand the opinions of the authorities at the same level in charge of the production and trading of medicines. However, this does not apply to the production of traditional Chinese medicines prepared in ready-to-use forms.

Article 23
Pharmaceuticals must meet the pharmaceutical standards of the state or those of the relevant province, autonomous region, or municipality directly under the Central Government. The Pharmacopoeia of the People's Republic of China and the pharmaceutical standards promulgated by the administrative department of health under the State Council shall be the state pharmaceutical standards.

The Pharmacopoeia Committee of the administrative department of health under the State Council shall be responsible for organizing the formulation and revision of the state pharmaceutical standards.

Article 24
The administrative department of health under the State Council and administrative departments of health of provinces, autonomous regions, and municipalities directly under the Central Government may establish pharmaceutical examination and evaluation committees to carry out examination and evaluation of new medicines and to reevaluate medicines already put into production.

Article 25
The administrative department of health under the State Council shall organize investigations of medicines which have been approved for production. It shall revoke the registered documents of approval if it discovers that the medicines' curative effects are uncertain or poor, or that they produce serious adverse reactions or for other reasons are harmful to people's health. Production and sale of medicines whose registered documents of approval have been revoked shall not be allowed to continue; those which have already been produced shall be destroyed or disposed of under the supervision of the local administrative department of health.

Article 26
Import of medicines whose curative effects are uncertain or poor, or which produce adverse reactions or have other harmful effects on people's health shall be prohibited.

Article 27
For any medicine which is to be imported for the first time, the importer must submit the manuals, quality standards, methods of inspection and other related information and samples, as well as the exporting country's (region's) certification documents approving its production, to the administrative department of health under the State Council, and import contracts may be signed only with the prior approval of the said department.

Article 28
Imported medicines must be inspected by the pharmaceutical inspection institutions authorized by the administrative department of public health under the State Council; those having passed the inspection shall be allowed to be imported. Medicines to be imported in small quantities for urgent clinical needs by medical units or for personal use shall be handled according to customs regulations.

Article 29
The administrative department of health under the State Council shall have the power to restrict or prohibit the export of traditional Chinese medicinal materials and prepared Chinese medicines which are in short supply in the domestic market.

Article 30
Import Licences or Export Licences issued by the administrative department of health under the State Council are required for the import or export of narcotics and psychotropic substances falling within the restricted scope prescribed by the administrative department of health under the State Council.

Article 31
Newly discovered domestic medicinal plants or medicinal plants introduced from abroad may be sold only after they have been examined and approved by the administrative department of health of the relevant province, autonomous region, or municipality directly under the Central Government.

Article 32
Measures for controlling medicinal materials traditionally used by local people in certain regions shall be formulated by the administrative department of health under the State Council.

Article 33
The production and sale of fake medicines are prohibited. A fake medicine has either of the following characteristics:

  • the names of its components are different from those prescribed for it by state pharmaceutical standards or pharmaceutical standards of the relevant province, autonomous region, or municipality directly under the Central Government;
  • a non-medical substance is passed off as a medicine, or one medicine is passed off as another.
Amedicine shall be handled as fake medicine in any of the following cases:
  • where the use of the medicine has been prohibited by the administrative department of health under the State Council;
  • where the medicine has been produced without being assigned a registration number;
  • where the medicine has deteriorated and cannot be used as such; or
  • where the medicine has been contaminated and cannot be used as such.
Article 34
The production and sale of medicines of inferior quality shall be prohibited. A medicine of inferior quality has any of the following characteristics:
(1) the components of the medicine do not conform in quantity to that required by state pharmaceutical standards or pharmaceutical standards of the relevant province, autonomous region, or municipality directly under the Central Government;
(2) the medicine has passed its expiry date;
(3) the medicine fails to meet the prescribed standards in other respects.

Article 35
Personnel in pharmaceutical producing or trading enterprises and in medical units who have direct contact with medicines must undergo an annual medical examination. Persons who have contracted contagious diseases or any other disease which may contaminate the medicines shall not be allowed to engage in any work which has direct contact with pharmaceuticals.

Chapter VI Packaging and Repackaging of Pharmaceuticals

Article 36
Packaging must meet the specific quality requirements of the pharmaceuticals and facilitate their storage, transportation and medical use. If a medicine has a period of validity, it must be clearly indicated on the package.

Traditional Chinese medicinal materials must be packaged before transportation. There must appear on the package the name of the medicine, place of production, date, name of the consignor, and an indication that the quality of the medicine is up to standard.

Article 37
Packages of pharmaceuticals must, in accordance with the regulations, be labeled and include directions for use. The label or directions must indicate the name of the medicine, specifications, the producer, registration number, batch number of the product, principal components, indications, directions for use dosage, contraindications, adverse reactions and precautions. Special indications must be printed as required on the labels of narcotics, psychotropic substances, toxic drugs, radioactive drugs andmedicines for external use.

Article 38
A pharmaceuticals trading enterprise engaged in the repackaging of medicines must possess the necessary facilities and sanitary conditions suitable for the purpose, and pharmaceutical technicians must be placed in charge of this work. The repackaging records must be complete and accurate. The repackaged medicine must enclose directions for use, and on the package must be indicated the name of the medicine, specifications, the producer, the batch number of the product, the repackaging unit and the lot number of the repackaged product. If the medicine has a period of validity, must also be indicated on the new package.

Chapter VII Pharmaceuticals Under Special Control

Article 39
The state adopts special measures for the control of narcotics, psychotropic substances, toxic drugs and radioactive drugs. Regulations for the control of these drugs shall be formulated by the State Council.

Article 40
Narcotics, including their mother plants, must be produced only by units jointly designated by the administrative department of health under the State Council and other departments concerned, and must be supplied by units jointly designated by the administrative department of health of provinces, autonomous regions, and municipalities directly under the Central Government and other departments concerned.

Chapter VIII Administration of Trademarks and Advertisements of Pharmaceuticals

Article 41
Registered trademarks must be used for all pharmaceuticals with the exception of traditional Chinese medicinal materials and their preparations in ready-to-use forms. The sale of pharmaceuticals without completing trademark registration shall be prohibited. The registered trademark must appear on the package and the label of the medicine.

Article 42
Advertisements of pharmaceuticals must be examined and approved by the administrative department of health of the relevant province, autonomous region, or municipality directly under the Central Government. In the absence of such approval, advertisement of any medicine may not be ublished, broadcast, handed out or posted on walls.

Article 43
Foreign enterprises which apply to advertise pharmaceuticals in China must submit relevant documents of approval by the country (region) in which the pharmaceuticals are produced, directions for use and other relevant materials.

Article 44

Advertisements of pharmaceuticals must be based on the directions for use approved by the administrative department of health under the State Council or the administrative departments of health of provinces, autonomous regions, or municipalities directly under the Central Government.

Chapter IX Supervision over Pharmaceuticals

Article 45
The administrative departments of health at or above the county level shall exercise supervisory power over pharmaceuticals. The administrative departments of health at or above the county level may set up organs for the administration of pharmaceuticals and organs for the inspection of pharmaceuticals.

Article 46
There shall be pharmaceutical inspectors in the administrative departments of health at or above the county level. Pharmaceutical inspectors shall be appointed from among pharmacological technical personnel and issued certificates by the people's governments at the same level.

Article 47
Pharmaceutical inspectors are authorized to exercise, in accordance with the regulations, supervision, inspection and sampling as regards the quality of pharmaceuticals in the producing enterprises, trading enterprises and medical units within their jurisdiction, and when necessary may pick samples at random and ask for relevant data in accordance with regulations. The enterprises and units concerned may not refuse such requests or withhold relevant data. Pharmaceutical inspectors are duty-bound to keep confidential the technical information provided by pharmaceutical producing enterprises and scientific research institutions.

Article 48
Pharmaceutical producing enterprises, pharmaceutical trading enterprises and medical institutions shall conduct regular surveys of the quality curative effects and adverse reactions of the pharmaceuticals they have produced, traded in or used. When drug poisoning is discovered, the medical institution concerned must promptly report the matter to the local administrative department of health.

Article 49
The organs or personnel in charge of pharmaceutical inspection in pharmaceutical producing enterprises and pharmaceutical trading enterprises shall receive operational guidance from the local pharmaceutical inspection organs.

Chapter X Legal Responsibility

Article 50
Whoever produces or sells fake medicines shall have his fake medicines and unlawful income confiscated and may concurrently be fined; in addition, he may be ordered to suspend production or business operations pending rectification, or have his Pharmaceutical Producer Licence, Pharmaceutical Trading Enterprise Licence or Dispensing Permit revoked. An individual who produces or sells fake medicines, or the person directly responsible for a unit which commits this offence, and thereby endangers people's health, shall be investigated for criminal liability under Article 164 of the Criminal Law.

Article 51
Whoever produces or sells medicines of inferior quality shall have his medicines of inferior quality and unlawful income confiscated and may be fined as well. If the circumstances are serious, the unit concerned shall be ordered to suspend production or business operations pending rectification, or have its Pharmaceutical Producer Licence, Pharmaceutical Trading Enterprise Licence or Dispensing Permit revoked. An individual who produces or sells medicines of inferior quality or the person directly responsible for a unit which commits this offence, and thereby endangers people's health and causes serious consequences, shall be investigated for criminal liability in reference to the provisions of Article 164 of the Criminal Law.

Article 52
Any unit engaged in the production, trading or preparation of medicines without obtaining the Pharmaceutical Producer Licence, Pharmaceutical Trading Enterprise Licence or Dispensing Permit shall be ordered to suspend production, business operations or preparation of such medicines. The medicines and unlawful income shall all be confiscated and a fine may also be imposed.

Article 53
Whoever violates any other provision of this Law on the administration of pharmaceutical production and pharmaceutical trading shall be served a warning or be fined.

Article 54
The decision to mete out administrative sanctions stipulated in this Law shall be made by the administrative departments of health at or above the county level. The decision to mete out administrative sanctions for violations of the provisions of Article 15 or of Chapter VIII on
administration of advertisements of this Law shall be made by the administrative departments for industry and commerce. Punishment by suspension of production or business operations pending rectification for seven days or more, or revocation of the Pharmaceutical Producer Licence or Pharmaceutical Trading Enterprise Licence to be meted out to pharmaceutical producing enterprises or pharmaceutical trading enterprises directly under the jurisdiction of the Central Government or of the people's governments of provinces, autonomous regions, or municipalities directly under the Central Government, shall be submitted by the administrative department of health of the relevant province, autonomous region, or municipality directly under the Central Government to the people's government at the same level for final decision. Punishment by suspension of production or business operations for seven days or more, or revocation of the Pharmaceutical Producer Licence or Pharmaceutical Trading Enterprise Licence, to be meted out to pharmaceutical producing enterprises or pharmaceutical trading enterprises under the jurisdiction of people's governments at or below the city or county level, shall be submitted by the administrative department of health of the people's governments at or below the city or county level to the people's governments at the same level for final decision. The confiscated pharmaceuticals shall be disposed of under the supervision of the administrative departments of health.

Article 55
If the party concerned does not accept the administrative sanction decided on, it may file suit in the people's court within 15 days after receiving notification of the sanction. However, the said party must immediately carry out the decision on the control of pharmaceuticals made by the administrative department of health. If the party neither complies with the sanction nor files suit within the time limit, the organ which made the decision on the administrative sanction shall apply to the people's court for compulsory execution.

Article 56
If any individual or unit, in violation of this Law, causes drug poisoning, he or it shall be liable for the damage. The victims may request the administrative department of health at or above the county level to handle the matter; if a party does not accept the decision, it may file suit in the people's court. The victims, too, may directly take the case to the people's court. The claim for compensation must be made within a year from the day on which the victim or his representative was aware or should have been aware of the damage done. No claim for compensation shall be entertained beyond the time limit.

Chapter XI Supplementary Provisions

Article 57
For the purpose of this Law, the definitions of the following terms are:

"Pharmaceuticals" means articles intended for use in the prevention, treatment or diagnosis of human diseases, or intended to effect the purposive regulation of human physiological functions, for which indications, usage and dosage are prescribed, including raw traditional
Chinese medicinal materials, traditional medicines prepared in ready-to-use forms and other prepared Chinese medicines, medicinal chemicals and their preparations, antibiotics, biochemical medicines, radioactive drugs, serums, vaccines, blood products, diagnostic aids, etc. "New medicines" means medicines which have not been produced in this country before "Supplementary materials" means the excipients and additives used for the production and dispensing of pharmaceuticals. "Pharmaceutical producing enterprise" means an enterprise exclusively or partly engaged in the production of pharmaceuticals. "Pharmaceutical trading enterprise" means an enterprise exclusively or partly engaged in the trading of pharmaceuticals.

Article 58
The production of pharmaceuticals referred to in this Law does not include the cultivation, collection and breeding of all categories of medicinal materials used in traditional Chinese medicine.

Article 59
The administrative department of health under the State Council shall, pursuant to this Law, draw up measures for its implementation, which shall enter into force after being submitted to and approved by the State Council. Measures for the control of pharmaceuticals specially needed by the Chinese People's Army shall be formulated by the competent military department of the state.

Article 60
This Law shall enter into force as of July 1, 1985.



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