New pricing regulations for pharmacies

IFP MEDIA STATEMENT RELEASED BY:
DR RUTH RABINOWITZ MP
IFP SPOKESPERSON FOR HEALTH

November 1, 2006

The IFP spokesperson for Health, Dr Ruth Rabinowitz today said:

"The only positive feature of the medicine pricing mechanism released by the Department of Health (DOH) is the removal of the burden of the administration fee paid by customers.

The IFP remains strongly opposed to the pricing mechanism in principle. It is complex, easy to manipulate and difficult to monitor. It is also burdensome on small pharmacies, administratively and bureaucratically cumbersome and inflexible.

The IFP continues to advocate a fixed maximum exit price, transparency along the entire chain of supply and the same discounts given to all by manufacturers.

Under the circumstances, generics will cost more than they should, competition will be stifled and medical schemes will still be entitled to limit payment to members."



FOR FURTHER INFORMATION CONTACT:
Dr Ruth Rabinowitz MP: 082 579 3698
Noleen Hendricks: 082 886 9848