AUSTRALIAN Pharmaceutical Industries has warned that it will "pull the levers available to us" in relation to pharmacy distribution if current funding gaps in the Community Service Obligation (CSO) are not addressed.
Speaking at the API annual general meeting yesterday, ceo Richard Vincent said the company was focused on working with the government to develop a sustainable funding model.
"We would prefer a solution that invests in the national medicines supply chain, however we are prepared for all options," he said.
Outgoing API chairman Peter Robinson cited the recent moves by AstraZeneca and Amgen shifting to direct distribution for their higher margin and higher volume medicines outside the CSO wholesaling model.
"Exclusive arrangements such as these provide no ability to monitor and enforce minimum standards for delivering the community service," Robinson said.
Vincent also confirmed the tough retail market (PD 22 Jan 2018), with Priceline Pharmacy's market share remaining stable although the overall health and beauty market showed "little to no growth".
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