The National Pharmaceutical Services Association (NPSA) has warned that reliable access to vital medicines will be threatened if others in the industry move to an exclusive direct distribution model. This follows media reports that almost one-third of pharmaceutical industry representatives are considering moving to a Pfizer Direct type distribution model.
Referring to the Deloitte Access Economics Report: ‘Economic analysis of exclusive distribution of PBS medicines’ the NPSA has warned that further moves by manufacturers to sideline the full-line wholesalers will erode the viability of the Community Service Obligation (CSO).
The Deloitte Report concludes that if more manufacturers become the sole suppliers of their medicines, pharmacists will be further restricted to single, potentially unreliable sources for the supply of PBS medicines.
NPSA President Patrick Davies said legislative action is required to protect the CSO, the National Medicines Policy and the principle of equity of access that underpins Australia’s healthcare system.
“Pharmacies need more than one source of supply and they need to be able to access all PBS medicines from their full-line CSO wholesaler – otherwise patient care is compromised,” Mr Davies said.
“Australia is a vast country with a small population and specialist pharmaceutical wholesaling depends on economies of scale that are lost if the large pharma companies pull out of the supply chain.
“Our healthcare system is the envy of much of the world and we must act to defend it by ensuring the exclusive supply of PBS medicines is prevented as part of negotiations around the 6th Community Pharmacy Agreement.”
To see the full Deloitte Access Economics Report click here DAE-NPSA Revised Final Report_June 2011.pdf
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