Dáil Éireann Debate, Tuesday - 10 February 2015
461. Deputy Sean Fleming asked 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]
View answer462. Deputy Sean Fleming asked 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]
View answerI 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.
