RMI

Australia 78 :
New Zealand 20 - Kiwis lose
New research shows that over the last six years while 78 new innovative prescription-only medicines were listed on the Australian PBS, only 20 were listed on the New Zealand schedule.

Analysis was limited to innovative, new, prescription-only medicines and access was deemed to have occurred if the medicines were publicly reimbursed in Australia under their PBS or in New Zealand under the Pharmaceutical Schedule which is managed by PHARMAC.

"This means that since 1 May 2000 Australians have enjoyed access to 58 more innovative new medicines than New Zealanders have," Dr Pippa MacKay commented.

"While our system gives subsidies for calomine lotion, low dose asprin and bleach, New Zealand patients with cancer, Alzheimer’s disease, heart failure, atopic dermatitis and psoriasis all miss out while their cousins across the Tasman have access to these medicines," she said.

The study also confirms that New Zealanders wait longer for access to any new medicines that are ultimately subsidised. When a new medicine is reimbursed in New Zealand, it occurs on average some 14 months after it has been listed in Australia.

The report, "Access by patients in New Zealand to innovative new prescription-only medicines, how have they been faring in recent times in relation to their trans-Tasman counterparts" was authored by Michael Wonder, Senior Health Economist, at Novartis Pharmaceuticals Australia. It presents the results of a comparative study on the level and timeliness of access of patients to medicines in both countries between 2000 and 2006.

For further information please contact the RMI.

RMI Chair Reappointed

Dr Pippa MacKay has been reappointed as the RMI chair for a third year. Board vice-chairman, Dave Bowler (CSL), said Pippa MacKay's leadership had overseen the development of some quite remarkable advances for the researched medicines industry. "This includes the very welcome review of the access to and funding of our medicines policy and the planned development of a comprehensive and strategic national medicines strategy," Dave Bowler said.

National medicines policy moves supported "The development of a national medicines policy to address the problems that hinder access to and funding of innovative medicines for New Zealanders will uncover issues that patient groups, doctors, individuals and the RMI have voiced for a very long time", Dr Pippa MacKay, chair of the RMI, said when welcoming the release of the terms of reference by associate health minister, Hon Peter Dunne. "We also welcome the goodwill inherent in the invitation for all sectors of the industry to participate in the development of the medicines strategy. We have well thought through views and believe we can offer constructive and useful help. "Above all, the process must focus on patient needs, rather than health institutions and structures. "And, the bottom line must be that New Zealanders have similar access to modern medicines as do citizens in other developed countries, while balancing community health needs and taxpayer investment," she said. The researched medicines industry has established a taskforce to address the review. This taskforce represents all the New Zealand innovative medicines industry.

Time from formal recommendation to listing on, respectively, the Australian pharmaceutical benefit schedule and the New Zealand pharmaceutical schedule.

Australia 30.5 : New Zealand 103
- Aussie wins, again

The table on the right shows that it takes 30.5 weeks from recommendation by the Australian equivalent of New Zealand’s PTAC (PBAC) for a medicine to be listed on Australia’s Pharmaceutical Benefits Schedule.

Whereas, it takes 103 weeks, just on two years, to list a medicine, on average, from a positive PTAC recommendation.

The RMI suspects the dragged-out timeframe is really a rationing strategy designed to save money, and a machination to manage an annually capped zero-based budget, while at the same time, denying medicines to needy patients. "It certainly has nothing to do with assessing a medicine’s safety or efficacy. These tests are applied to medicines by MedSafe long before a medicine is considered for listing," Dr Pippa MacKay commented.

Twenty-nine positive recommendations for listing of new products on New Zealand’s Pharmaceutical Schedule were made between August 2002 to November 2005, according to PTAC minutes.

Yet to date, only nine of the 29 have been listed on the Schedule and therefore funded for patients needing the medicines.

One product, rated as a "high" priority three years ago, is still not listed.

Then there is the curious "cost neutral" recommendation from PTAC regarding five medicines. Here the recommendation suggests priority for listing could increase from "low" to "high", if a suitable commercial proposal were reached, and where the financial impact on the pharmaceutical budget was "cost neutral" (or better).

Cost neutral surely means PHARMAC and PTAC somehow expect a medicine should be free?

This newsletter is published on behalf of the
Researched Medicines Industry Association of New Zealand
The views and opinions expressed in this publication
are not necessarily those of the RMI.

For further information:
The Researched Medicines Industry Association Inc
PO Box 10447 Wellington
Phone 04 499 4277

www.rmianz.co.nz

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