Written answers

Thursday, 27 September 2012

Department of Health

Medicinal Products Expenditure

Photo of Brendan SmithBrendan Smith (Cavan-Monaghan, Fianna Fail)
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To ask the Minister for Health if he will provide an update on discussions with the IPHA; the savings that are expected in relation to reducing the drugs bill as a result of these discussions; when he expects to see these savings take effect; and if he will make a statement on the matter. [40970/12]

Photo of Caoimhghín Ó CaoláinCaoimhghín Ó Caoláin (Cavan-Monaghan, Sinn Fein)
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To ask the Minister for Health the reason this State is the most expensive country in northern Europe to buy on-patent medicines; the efforts he is making to address the cost of on-patent medicines here; the progress made to date; the timeline and expected savings from same; and if he will make a statement on the matter. [41142/12]

Photo of Caoimhghín Ó CaoláinCaoimhghín Ó Caoláin (Cavan-Monaghan, Sinn Fein)
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To ask the Minister for Health the reason generic medicines often cost as much as 12 times more in this State than in Britain; the efforts he is making to address the cost of off-patent and generic medicines here; the progress made to date; the timeline and expected savings from same; and if he will make a statement on the matter. [41143/12]

Photo of James ReillyJames Reilly (Dublin North, Fine Gael)
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I propose to take Questions Nos. 44, 188 and 189 together.

The prices of medicines vary between countries for a number of reasons. These include different prices set by manufacturers, different wholesale and pharmacy mark-ups, different dispensing fees and different rates of VAT.

Negotiations are ongoing between officials of the Department/HSE and the two bodies that represent pharmaceutical manufacturers in Ireland regarding reductions in the price of medical products supplied under State Schemes. It is expected that these negotiations will conclude shortly and provide additional savings in the cost of medicines. In addition, the Health (Pricing and Supply of Medical Goods) Bill 2012will introduce a system of reference pricing and generic substitution for prescribed drugs and medicines. These reforms will promote price competition among suppliers and ensure that lower prices are paid for medicines resulting in savings for taxpayers and patients.

The Bill is a Government priority for this Oireachtas session.It completed its passage through the Seanad on Wednesday, the 19th of September, and will be discussed in the Dáil shortly.

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