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DISPENSING LICENCE. Have 4 providers for the course 1. Health Science Academy 2. Intec College 3. Medunsa 4. S Buys Training Academy. DISPENSING LICENCE. Have 6250 applications 944 processed 625 granted 319 pending. MEDICINE PRICES REGULATION.
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DISPENSING LICENCE • Have 4providers for the course 1. Health Science Academy 2. Intec College 3. Medunsa 4. S Buys Training Academy Adhoc Committee on Health 22 June 2004
DISPENSING LICENCE • Have 6250 applications • 944 processed • 625 granted • 319 pending Adhoc Committee on Health 22 June 2004
MEDICINE PRICES REGULATION • Widely used in most developed countries • At least 28 countries have regulated • Canada, EU member states, Australia, New Zealand, UK • Pharmaceutical products in South Africa can be ~30% higher than in countries like Australia. Adhoc Committee on Health 22 June 2004
MEDICINE PRICES REGULATION • First draft published on 16 January2004 for 3months comment period • 94 comments were received over a period of 17 days [ 8 March 2004 to 13 April 2004] • Final draft promulgated on 30 April 2004, to commence on 2 May 2004 • Phased implementation over 90 days. Adhoc Committee on Health 22 June 2004
How do these countries regulate medicine prices? Government sets the: • ex-manufacturer price • ex-wholesaler price • dispensing fees Governments use a range of strategies to control price through the supply chain. Adhoc Committee on Health 22 June 2004
How were the regulations developed The regulations were drafted after consideration of : • the successes and failures of the various pricing strategies used internationally • research into the South Africa pharmaceutical market • Applicability of the various strategies in the SA environment. Adhoc Committee on Health 22 June 2004
International Price Comparisons • A comparison of 121 products sold in SA with the prices in Australia suggests that prices in SA are on average about 30% higher. • Of the 121 products used in the comparison 81 products were actually higher in price. Adhoc Committee on Health 22 June 2004
Supply chain costs International price comparison in the field of pharmaceuticals is subject to many pitfalls, and retail prices, in particular, are often a distant relation to manufacturer’s selling price. Import duties, taxes, wholesale markups, both formal and informal, can double the price of a drug between manufacturer and consumer.” (WHO Secretariat 2001, p. 11) Adhoc Committee on Health 22 June 2004
How Does the Pharmacy Margin in SA (20.6%) Compare Internationally? Adhoc Committee on Health 22 June 2004