Seán Fleming (Laois-Offaly, Fianna Fail)
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460. To ask the Minister for Health in view of the high prices charged for medicines by the pharmaceuticals companies, and the varying prices charged across the European Union by the same companies for the same medicines, if he will raise this matter at a Council of Ministers meeting to see if European Union Government procurement can work collectively to get the best possible price for European Union taxpayers by combining the purchasing power of all European Union states, rather than allowing the individual companies to pick off countries on an individual basis, and charge them different prices, based on what they believe they can get away with; and if he will make a statement on the matter. [5985/15]

Leo Varadkar (Dublin West, Fine Gael)
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Decisions on pricing and reimbursement of pharmaceutical products within public health systems are a national competence for EU Member States. However, the issue of pricing and reimbursement of medicines has been the subject of recent discussion at an EU level.

The Council of the European Union issued conclusions in December 2014 on the issue of innovation for the benefit of patients which included the issue of co-operation on the pricing of medicines between Member States. The Council conclusions invited the European Commission and Member States to examine opportunities for potential co-operation on a voluntary basis in the field of pricing and reimbursement.

I have indicated previously in discussions at an EU level on this issue that I am supportive of proposals that would deliver greater transparency in prices. However, I am mindful that this may be difficult to achieve as Member States negotiate directly with pharmaceutical companies to agree commercially confidential discounts on the price of medicines and to establish patient access schemes.

A number of mechanisms exist at a European level to assist with the issue of pricing and reimbursement of medicines. In 2008 the network of Competent Authorities on Pricing and Reimbursement was created of which Ireland is a member. This is an informal platform which discusses the issues and challenges in the field of pricing and reimbursement of medicines. Ireland also has access to the EU Euripid Database which was launched in 2010. This is a web based database which provides up to date information on the prices of medicines which can be accessed by participating Member States.

It is also worth noting that a Joint Procurement Agreement for medical countermeasures is in place at an EU level which enables countries, including Ireland, to procure pandemic vaccines and other medical countermeasures on a group rather than individual basis.

Seán Fleming (Laois-Offaly, Fianna Fail)
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461. To ask the Minister for Health the reason he and the Health Service Executive discuss the cost of medicines with the Irish Pharmaceuticals Health Care Association, instead of directly with the pharmaceutical companies; the reason he goes through a third party; and if he will make a statement on the matter. [5986/15]

Seán Fleming (Laois-Offaly, Fianna Fail)
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462. To ask the Minister for Health if he or the Health Service Executive enter into direct face-to-face negotiations with the pharmaceutical companies regarding the price of medicines that they charge the Irish tax payer; and if he will make a statement on the matter. [5987/15]

Leo Varadkar (Dublin West, Fine Gael)
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I propose to take Questions Nos. 461 and 462 together.

The Department of Health and the Health Service Executive have entered into a series of agreements with the Irish Pharmaceutical Healthcare Association (IPHA) and the Association of Pharmaceutical Manufacturers in Ireland (APMI). Between 2006 and 2014 these agreements have generated savings in the region of €790 million.

The State has engaged at an industry level on the basis not only of the savings delivered but also that the agreements have provided the State with certainty regarding security of supply of pharmaceutical products for Irish patients including ensuring that patients have access to new and innovative medicines.

The 2012 agreement with the Irish Pharmaceutical Healthcare Association provides for a mid-term review. My Department and the HSE have been engaging with IPHA in this context. Whilst the Government's preference would be for additional savings to be delivered in co-operation with the pharmaceutical industry, agreement has not been reached in discussions to date.

Section 21 of the Health (Pricing and Supply of Medical Goods) Act 2013 affords the HSE powers to review and alter prices. This is an option which the Executive is examining at present, having regard to all relevant factors, including the funding pressures that it faces in relation to new and innovative drugs.

It is important to note that the HSE does enter into direct negotiations with pharmaceutical companies who are seeking reimbursement of new products on the GMS and community drugs schemes.