API warns of ‘trade-offs’
May 22, 2013

AUSTRALIAN Pharmaceutical
Industries has joined early
jockeying for position in the
negotiation of the next Community
Pharmacy Agreement, warning
that it may be forced to lengthen
the delivery time for medications
if Community Service Obligation
funding isn’t increased.
“If the government doesn’t wish
to supplement the income into the
next agreement, there will need
to be some trade-offs,” API ceo
Stephen Roche reportedly told the
Sydney Morning Herald.
He said this could potentially
be seen in longer delivery times,
adding “instead of it being 24
hours, it might be delivery within
72 hours except for emergency
items.”
Currently API shares the $190
million CSO pool with other full
line wholesalers in return for
guaranteeing delivery of any PBS
medication to any pharmacy across
the country within 24 hours.
However this is an expensive
requirement, and Roche said “it
is a matter of what is important
from a social policy perspective,
and then what are the minimum
standards the government would
be looking to maintain and then
some consultation about how we
may be able to get there.”
The API comments follow Guild
calls for a possible increase to
dispensing fees in the 6CPA (PD
Mon), despite negotiations for the
Agreement not starting until 2014.
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