Seanad debates

Wednesday, 17 April 2013

Adjournment Debate

Medicinal Products Prices

8:55 pm

Photo of Phil HoganPhil Hogan (Carlow-Kilkenny, Fine Gael) | Oireachtas source

I apologise for the inability of the Minister for Health to be present to respond to the matter raised by Senator Burke. He has asked me to convey his apologies in that regard. The Minister is in favour of pharmacists publishing details of dispensing and other fees. Under the code of conduct of the Pharmaceutical Society of Ireland, pharmacists are required to provide honest, relevant, accurate, current and appropriate information to patients regarding the nature, cost, value and benefit of medicines provided by them. Every pharmacist has an obligation to comply in full with the statutory code of conduct. Perhaps they do not always do so.

The PSI advises patients that their pharmacist should be in a position to provide them with whatever information or clarification they require about prescribed medicines, although, as Senator Burke has just said, they often do not ask for this information. Each pharmacy has a professional management structure comprising of a superintendent and supervising pharmacist, and it may be appropriate to seek further information or clarification from them.

The price charged by a pharmacy for dispensing a prescribed medicine typically consists of a dispensing fee, the ingredient cost and a retail mark-up. The HSE reimburses pharmacists for products dispensed under the general medical services scheme and other community drug schemes in accordance with rates set out in its list of reimbursable items. Under the Financial Emergency Measures in the Public Interest Act 2009, the fees and allowances paid by the HSE to pharmacists were reduced in 2009 and again in 2011. These measures included a reduction in the wholesale mark-up on drugs from 17.66% to 8%. In addition, the retail mark-up payable under the drug payment scheme and the long-term illness scheme was reduced from 50% to 20%. The reduction in the cost of medicines should be of benefit to all patients who hold a drug payment scheme card, whether or not they reach the €144 threshold per month.

It is open to patients to move their custom to a different pharmacy if they are dissatisfied with the prices being charged. However, as we all know, it is often difficult for customers, particularly those in rural areas, to move their custom because they have built up a relationship and they have a traditional outlet.

I wish to advise that the Health (Pricing and Supply of Medical Goods) Bill 2012, which was passed on Committee Stage in the Dail on 19 March, provides for the introduction of a system of generic substitution and reference pricing. This legislation is expected to complete its passage shortly. This will provide an opportunity to highlight the issue the Senator has raised in the House today and is perhaps an opportunity for the Minister for Health to do something along the lines advocated by the Senator.

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