Today’s Grattan Institute report on community pharmacy is a welcome reminder of the need for urgent reform, including the need to scrap outdated and anti-competitive pharmacy location rules, allow discounting, and give both patients and taxpayers a better deal.
AMA President Dr Danielle McMullen said the AMA had long advocated for many of the reforms contained in the report, Future pharmacy: A better deal for patients and taxpayers .
“We know that archaic pharmacy location rules restrict patients’ access to cheaper medicines and pharmaceutical services,” Dr McMullen said.
“The restrictions on pharmacy ownership and location are anti-competitive and undermine patients’ access to medicines and services. They mean Australians pay more for medicines than they need to, and they do not guarantee supply or safety for Australian patients.”
Dr McMullen said key industry reports, dating back almost 25 years, had called for the removal of pharmacy ownership and location rules because they are anti-competitive, as well as a raft of other reforms.
“The AMA has also long had issues with the Community Pharmacy Agreement (CPA), including a lack of transparency on how the agreements are negotiated,” Dr McMullen said.
“These agreements continue to put the interests of pharmacy owners before patients, with several government reports also demonstrating that they lack transparency and accountability.
“It’s quite a contrast to the public process around hospital pricing, Medicare pricing, private health premium increases, aged care reforms — you name it.”
The AMA had also previously called for further discounts of PBS medicines, Dr McMullen said.
“Such discounts could lower the price of medicines for patients, without costing the taxpayer. We routinely hear calls for increased access and affordability to healthcare from the community. Medicines are a critical component of healthcare. We should have pharmacy competition; we should have discounting; we should have transparency, and we should have a better deal for patients.
“The AMA pushed hard for 60-day dispensing, and with community support that was achieved. But there is so much more we can do for all patients to make medicines easier and cheaper to access, and we can do this without affecting the taxpayer’s wallet.”
Dr McMullen said the report also highlighted the value that incorporating pharmacists in general practice could bring, something the AMA has long supported.
“We believe pharmacists provide a critical service — but we need to use their expertise in medicines more effectively, by integrating non-dispensing pharmacists into general practice. Importantly, the report points out this is one area backed by evidence — with overseas examples demonstrating the success of pharmacists working in partnership with GPs.”
