How does the health minister review the cost of medicine?

Government has invited the public to share their views on the affordability of medication in South Africa for 2020.

The National Department of Health says a “fair price” is currently defined as one that is affordable for health systems and patients and at the same time provides sufficient market incentive for industry to invest in innovation and the production of medicines.

Deputy Director General of National Health Insurance, Dr Anban Pillay explains.

Each year the minister has to review what would be the price adjustment on that medicine, so no company can increase their price beyond whatever the minister determines to be a reasonable price increase.

Dr Anban Pillay, Deputy director general - National Health Insurance

The price increases will fluctuate and have been seven or nine percent over the years. Last year was three percent so, depending on what the exchange rate does - it influences to a large extent what the adjustment is going to be.

Dr Anban Pillay, Deputy director general - National Health Insurance

Pillay says the annual review also takes into account the Consumer Price Index (CPI).

But the pharmaceutical industry is not happy with the fluctuations caused by the exchange rate and wants the Ministry to use the CPI alone as its barometer.

We have put it out there as to these are the options that we could use for price adjustments - and we would like South Africans to share their views on what would be reasonable so that the minister can make a final determination, to calculate the price increase for 2020.

Dr Anban Pillay, Deputy director general - National Health Insurance

Everyone - every member of the public, the pharmaceutical industry, medical schemes... we encourage as many people (as possible) to provide input and share their views.

Dr Anban Pillay, Deputy director general - National Health Insurance

Click on the link below to hear more from Pillay:


Recommended

by NEWSROOM AI
Read More
New app helps calculate child maintenance

New app helps calculate child maintenance

The app called Mediation Academy is created to solve South Africa's child maintenance problem.

[LISTEN] UNAids optimistic about progress in the war against HIV/AIDS

[LISTEN] UNAids optimistic about progress in the war against HIV/AIDS

The annual global UN-Aids report has was released this week.

 #ZondoCommission: Zuma disputes Mentor and Maseko's testimonies

#ZondoCommission: Zuma disputes Mentor and Maseko's testimonies

The former president continued his testimony at the Zondo Commission on Tuesday.

Matjila admits to meeting with ministers to discuss PIC related matters

Matjila admits to meeting with ministers to discuss PIC related matters

The former Public Investment Corporation chief executive officer was responding to questions on Monday at a commission of inquiry.

'Zuma's inquiry appearance crucial, possibly unheard of in African countries.'

'Zuma's inquiry appearance crucial, possibly unheard of in African countries.'

Political analyst Tinyiko Maluleke gives his take on day one of Jacob Zuma's state capture testimony.

Diepsloot shutdown called off

Diepsloot shutdown called off

Residents have complained about service delivery, demanding that Eskom repair transformers.

Popular articles
[BREAKING NEWS] Johnny Clegg (66) has passed away

[BREAKING NEWS] Johnny Clegg (66) has passed away

Specialists diagnosed the singer with pancreatic cancer in 2015.

Investigators find serious corruption at EOH

Investigators find serious corruption at EOH

A probe found "suspicious transactions" worth R1.2bn, bribery and theft. Bruce Whitfield interviews EOH CEO Stephen Van Coller.

I think Zuma has an exaggerated sense of self-importance - Dr Mufamadi

I think Zuma has an exaggerated sense of self-importance - Dr Mufamadi

ANC stalwart Dr Sydney Mufamadi questions why Zuma is bringing up the names of the alleged spies only now.

'Batchelor was once close to Mikey Schultz and self-confessed Kebble killers'

'Batchelor was once close to Mikey Schultz and self-confessed Kebble killers'

Journalist and author Mandy Wiener describes former footballer Marc Batchelor's links to alleged underworld figures.

'Calculated move by media to undermine Public Protector, I don't accept apology'

'Calculated move by media to undermine Public Protector, I don't accept apology'

Former Sars employee Bizoski Manyike responds to the Sunday Times article that called him a 'dope-smoking Rastafarian'.

3 best JSE and offshore shares to buy, right now (by Anchor Capital)

3 best JSE and offshore shares to buy, right now (by Anchor Capital)

The Money Show’s Bruce Whitfield asks Henry Biddlecombe (an analyst at Anchor Capital) for his stock picks of the week.

Advisor scams pensioners out of R100 million with promises of 14% returns

Advisor scams pensioners out of R100 million with promises of 14% returns

Bruce Whitfield interviews Phillip de Wet (Business Insider), Robert Walton (Boutique Collective Investments) and Brandon Topham.

'I should have told the Sunday Times the pot smoking was irrelevant'

'I should have told the Sunday Times the pot smoking was irrelevant'

Investigative journalist Jacques Pauw says he's sorry for any harm caused in his article on Mkhwebane and her principal witness.

[WATCH] Over 50 artists record special version of Johnny Clegg’s  “The Crossing”

[WATCH] Over 50 artists record special version of Johnny Clegg’s “The Crossing”

For this week's #GoodNewsThursdays, we find out the inspiration behind the production.