AMA Seeks Changes To Pharmacy Wholesaling That Benefit Consumers and Protect Equity for Country Australians
In response to a call from Health Minister Tony Abbott, the AMA has lodged a submission with the Department of Health and Ageing on the issue of Pharmacy Wholesaling, ahead of the conclusion of the Fourth Community Pharmacy Agreement, which the Government expects to achieve before 30 September.
AMA President, Dr Mukesh Haikerwal, said today that the AMA has a strong interest in ensuring the Pharmaceutical Benefits Scheme (PBS) remains sustainable and that all Australians continue to have access to affordable medicines.
Dr Haikerwal said the AMA submission is encouraging the Government to strike an appropriate balance between the interests of consumers and distributors.
"Of the wholesaling options put forward by the Department, the AMA supports the option that reduces distribution costs to the minimum, and which encourages innovation competition in the wholesale distribution industry," Dr Haikerwal said.
"Our preferred option recognises the need to provide additional financial incentives to ensure supply to rural areas, and supply of specific categories of pharmaceuticals such as dangerous drugs and low volume medicines.
"The AMA view is that the less you pay on distribution, the more you can pay on the pharmaceuticals that go to the community and actually help people get well or control their ailments.
"It means that quality pharmaceuticals remain affordable and accessible to all Australians, but especially to the poorest and the sickest.
"With the community benefit the priority, our assessment of the options is that Option 1 is the one that has the potential to reduce distribution costs to the minimum, while at the same time maintaining competition.
"Wholesale suppliers do not need to be mollycoddled. Where a wholesaler can provide a better service at a better price, it will win market share.
"In our view it is also the best way to protect and preserve the interests of all Australians, especially those who live in rural and remote areas of the country," Dr Haikerwal said.