asked the Minister for Industry, Commerce and Tourism if the prices of drugs and medicines are controlled; and, if not, why.
Ceisteanna — Questions. Oral Answers. - Drug and Medicine Prices.
14.
Under the Prices and Charges (Notification of Increases) Order, 1979, Irish manufacturers of drugs and medicines are subject to the same price controls as manufacturers of other products. However, by far the greater proportion of drugs and medicines sold in this country is imported and no control can be exercised on the manufacturers' prices for products manufactured outside the State. Importers and wholesalers of drugs and medicines are exempt from the scope of the order but changes in prices and cash margins of importers are monitored by the National Prices Commission. As part of this monitoring arrangement the commission arrange for periodic examinations of the profit margins of importers and wholesalers of drugs and medicines by their consultancy unit. Such an examination is in hands at present.
Is the Minister aware — I am sure he is — that the cost of drugs at the moment is very, very high? In fact, because of the lack of control, prices are left in the hands of people who have no obligation whatever to ensure we get value for money. Is the Minister aware that because of that imported drugs are being prescribed when we have here people actually manufacturing the drugs at a much lower price? We are talking here about companies operating under established trade names. Is the Minister aware that medical people believe a vast amount of money is being spent unnecessarily in the area of drugs?
If the price of a particular drug appears to be excessive that price is queried and, if necessary, the operations of the Department of Health are sought in the matter. It has a monitoring system and in May 1978, on the recommendation of the National Prices Commission, it was decided to exclude wholesalers from the monitoring system. Going back to 1975 the then Minister excluded wholesalers and importers.
If monitoring has taken place what power has the Minister or the NPC to follow the matter through?
The same as in relation to any price control.
Which is nothing. Is that not correct? No power whatsoever.