Guild responds to Grattan Institute report

Dec 02, 2013
The Pharmacy Guild of Australia welcomes the strong recognition by the Grattan Institute in its latest report of the need to address the significant deleterious impact that further reforms to medicine prices would have on community pharmacies.

The Executive Director of the Guild, David Quilty, said: “In the report, the Grattan Institute states that “better prices would significantly reduce income for community pharmacies” and that “this is a real challenge”.

“Pharmacies are already facing massive reductions in income from the existing price disclosure regime with the Pharmacy Guild estimating that, next financial year alone, dispensary remuneration will fall by an average of $90,000 per pharmacy.

“The Guild has consistently supported cheaper medicines as long as it is ensured that Australia’s 5,350 pharmacies are properly remunerated for their vital clinical role of safely dispensing medicines as well as the care, support and advice they provide to 300 million patients every year.

“This is clearly not happening under the current regime with the Guild estimating that up to 40% of pharmacies will be unviable or only marginally viable next financial year.

“Unless the flow-on impacts of any further PBS reform proposals are fully ameliorated, they would simply exacerbate an already dire situation for community pharmacies.
“While the Guild will continue to support taxpayers getting value-for-money from off-patent medicines, this cannot be at the expense of local small businesses, jobs and services,” Mr Quilty said.