Price cuts on 21 essential drugs start today

MANILA, Philippines - The Department of Health (DOH) assured the people yesterday that the prices of 21 essential types of medicine would be cut by half starting today as mandated by President Arroyo’s Executive Order 821 despite the opposition of some hospital owners.

DOH National Drug Program head Robert So told The STAR that the figure does not include the 22 other drugs whose prices will be voluntarily reduced by their manufacturers from 10 to 50 percent.

“Generally, the skeleton is in place. Of course, some meat was already there (so to speak). It’s just that we can’t avoid that there are some last-minute details that have to be attended to, like how do we determine which (drug stores are covered by today’s implementation),” said So.

The DOH had rejected the call of the Private Hospitals Association of the Philippines (PHAP) to delay implementation of the price cuts by six months to give hospital pharmacies more time to sell the medicines that they bought from pharmaceutical firms at non-discounted prices.

So said that PHAP did not formalize such request, which the DOH found to have no basis especially with the backing that the DOH got from the Drugstores Association of Philippines (DSAP) and Philippine Healthcare Association of the Philippines.

The healthcare association had assured the DOH that an “inventory system” is already in place to ensure the rebates for pharmaceutical stores.

So noted that DSAP, on the other hand, is keen on implementing the EO “because they would lose their markets” if they do not adjust prices.

“While we cannot guarantee 100 percent compliance for all, what we can say is that hopefully even way before Sept. 15, there will be small and medium size drugstores and secondary hospitals that will implement. They are not going to wait until the last second to comply,” he added.

Under the EO, implementation starts today among all drug outlets in Metro Manila and in pharmaceutical stores in the provinces whose inventory system is already computerized. Drugstores in far-flung provinces have until Sept. 15 to comply.

The EO is in compliance with the Maximum Drug Retail Price provision of Republic Act 9502 or the Universally Accessible Cheaper and Quality Medicines Act.

So said “complaints desks” would be established in all regional offices of the health department nationwide to receive complaints about violations of the EO.

A DOH memorandum shows the drug outlets that can implement the EO on or before Sept. 15 are the small and medium sized drugstores; hospital pharmacies in primary or secondary hospitals and Botika ng Barangay or similar projects of the government.

Those covered by the Aug. 15 implementation are the chain drugstores regardless of location; hospital pharmacies in third or fourth level hospital facilities; any and all drug outlets found within 500 meters vicinity of any hospital facility and all other government hospitals not covered by these criteria.

“Any drugstore or hospital pharmacy within the vicinity of the National Capital Region or found in chartered cities and first and second class municipalities are presumed to be able to comply with the Aug. 15 deadline unless otherwise proven to the contrary but such border shall be on the side of the outlet desiring to be exempted from the earlier deadline,” the memorandum showed.