Medicines Australia chief executive Ian Chalmers said today he was concerned by new figures that show a significant slowdown in the growth of Government spending on the Pharmaceutical Benefits Scheme.

A study on health spending released today by the Australian Institute of Health and Welfare shows that growth in PBS spending for 2005-06 slowed in real terms to just 1.7 per cent.

“One of the key concepts of PBS reforms is to ensure that all Australians have access to new medicines in the future,” Mr Chalmers said.

“So it’s important that the PBS grows at a reasonable level to protect the future health of the community.

“Medicines Australia will continue to work with Government to ensure all Australians get access to new therapies that the innovative medicines industry is developing.

“There are powerful arguments for investing appropriately in a PBS system that offsets the significant cost of chronic disease.

“Innovative medicines help control costs by preventing the need for care at public hospitals, shortening stays in hospitals where they are required, and relieving the costs of other institutional care.

“The slowdown in growth of PBS spending is a concern because if it continues, it will jeopardise the access to new medicines that the PBS reforms are designed to protect.”

Contact Person:

Jamie Nicholson
Media Communications Manager
Phone: 0419 220 293
Email: Jamie.Nicholson@medicinesaustralia.com.au

Medicines Australia chief executive Ian Chalmers today welcomed the ALP’s commitment to maintain and improve the Pharmaceutical Benefits Scheme.

The commitment was made as part of Labor’s New Directions for Australian Health policy, which was announced by Labor leader Kevin Rudd and Opposition Health Spokesperson Nicola Roxon.

“I welcome the ALP’s recognition of the importance of maintaining and improving the PBS,” Mr Chalmers said.

“I applaud any announcement that will address healthcare management holistically.

“In evaluating PBS expenditure, it’s important to look at the benefit in terms of health outcomes as well as the short-term cost. What is often regarded as a cost to the Commonwealth is in fact a saving for States.

“Innovative medicines help control health care costs by preventing the need for care at public hospitals, shortening stays in hospitals where they are required and relieving the costs of other institutional care. In short, they help people lead longer, better and more productive lives.

“I applaud any measure that that more effectively integrates healthcare provision.  The PBS should be seen not as a liability, but as an investment that offsets the cost of chronic disease.

New Directions for Australian Health estimates the annual financial cost of cardiovascular disease and obesity in Australia at $14.2 billion and $21 billion respectively. Innovative medicines have the capacity to significantly offset that cost.

“Labor is to be commended for looking at ways of dealing with the pressures of the increasing cost of health care.”

Contact Person:

Jamie Nicholson
Media Communications Manager
Phone: 0419 220 293
Email: Jamie.Nicholson@medicinesaustralia.com.au

Medicines Australia chief executive Mr Ian Chalmers today welcomed the Pharmacy Guild’s “Ask Your Pharmacist Week” initiative.

The public awareness campaign is launched today and encourages customers to acknowledge the contributions pharmacists make to the health of the community.

The campaign urges customers to “Ask Your Pharmacist” for Consumer Medicine Information (CMI) about medicines that are dispensed at pharmacies.

Consumer Medicine Information leaflets are written by pharmaceutical manufacturers specifically to help patients use medicines safely and effectively.

“I congratulate the Pharmacy Guild on this important initiative,” Mr Chalmers said.

“It’s a terrific example of how innovative pharmaceutical companies and the Guild are working together to ensure consumers get the best possible health outcomes from their medicines.

“It’s hugely important for patients to ask their pharmacists for Consumer Medicine Information. This is information that has been prepared by pharmaceutical manufacturers specifically for the consumer.

“Medicines used properly work better, and no one knows more about medicines than the people who make them.

“I strongly encourage all Australians to ask their pharmacist for the relevant Consumer Medicine Information leaflet when they are having a prescription filled.”

Ask Your Pharmacist Week runs from 17-24 August

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Contact Person:

Jamie Nicholson
Media Communications Manager
Phone: 0419 220 293
Email: Jamie.Nicholson@medicinesaustralia.com.au

Medicines Australia welcomes the focus in today’s ALP health policy statement on the importance of the health system in underpinning Australia’s economic performance and productivity.

“Medicines are a key tool in preventative health care for Australians and for encouraging participation and productivity in the economy,” Medicines Australia Chief Executive, Mr Ian Chalmers said today. “New medicines reduce costs elsewhere in the health system by keeping people healthy, reducing their stay in hospitals or avoiding other more expensive treatments”.

“Spending on medicines should be seen as an investment in the health and productivity of Australia, not a cost.”

“Access to new medicines is playing an important part in the increasing life expectancy of Australians. Medicines are a vital tool for ensuring that Australia’s population remains healthy and productive as it ages. How Australia manages its use of medicines in the future, and the Pharmaceutical Benefits Scheme, will be a key determinant of Australia’s future social and economic prosperity.”

“One of the major public policy challenges is how to ensure that the well-being of Australians and the Australian economy is enhanced to the maximum extent possible from the technological advances being made with innovative medicines while maintaining an appropriate level of fiscal control”, Mr Chalmers said.

“Medicines Australia is actively engaged in policy debate about the health system and its role in ensuring productivity in an ageing Australia.”

“We welcome the ALP’s recognition that the health of Australians and Australia’s health system is vital in ensuring Australia’s future economic prosperity,” Mr Chalmers said.

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Contact Person:

Jamie Nicholson
Media Communications Manager
Phone: 0419 220 293
Email: Jamie.Nicholson@medicinesaustralia.com.au

Achieving full authorisation of the Code is an important milestone for Medicines Australia. We intend to maintain a tough Code, which will continue to require it to be authorised by the Commission.

“The Tribunal decision is disappointing”, said Medicines Australia Chief Executive, Ian Chalmers, “while we will abide by the decision we don’t feel it adds anything to the already large public benefit provided by our strong Code of Conduct”.

The pharmaceutical industry’s Code of Conduct has been in place since 1960, has gone through 15 editions and is one of the toughest in Australia.

“Even an expert witness for the ACCC admitted that the publication of raw data required by the ACCC condition would not assist members of the public to assess the appropriateness of hospitality provided to participants at valuable and legitimate educational events” said Mr Chalmers.

The ongoing education of doctors about innovative, safe and effective medicines is a fundamental part of Australia’s health system and contributes to the well being of patients. The education provided is of the highest standard and informs doctors about medicines they may prescribe.

Pharmaceutical companies have an obligation to provide medical practitioners with information about their products and to receive feedback on them from clinicians.

Any member of the public can lodge complaints against the Code of Conduct and pharmaceutical companies do not sit in judgement of each other.

An independent committee made up of representatives appointed by peak medical associations, lawyers with significant expertise in trade practices law, and a consumer representative assess all complaints. Breaches of the Code can attract fines of up to $200,000 and requirement for corrective action.

An independent Monitoring Committee also regularly reviews promotional material to ensure compliance with the provisions of the Code.

While the decision by the Tribunal is disappointing, Medicines Australia will abide by the decision and makes an ongoing commitment to the Code of Conduct – it will be strictly enforced and, where breaches occur, sanctions will be applied.

Medicines Australia will make the necessary changes required to comply with the decision.

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Contact Person:

Jamie Nicholson
Media Communications Manager
Phone: 0419 220 293
Email: Jamie.Nicholson@medicinesaustralia.com.au

Tonight’s Budget announcement of $435.8 million in grants on medical research is important for securing Australia’s future.

“Medical research provides significant future pay-offs for the wider community, the economy and society,” Chief Executive, Ian Chalmers, said tonight.

“Medical research makes a major contribution to the development of new treatments for diseases. This helps maintain a healthy population, particularly one that is ageing, as well as build an innovative economy here in Australia.”

“The collaborative development of the cervical cancer vaccine by former Australian of the Year, Prof Ian Frazer, and the pharmaceutical industry is an example of the benefits – both social and economic – that come from funding medical research.”

Medicines Australia welcomed other initiatives in the 2007-08 Federal Budget, including:

• The expansion of access to PBS medicines and services to treat conditions such as osteoporosis, high cholesterol and attention deficit hyperactivity disorder.
• The package of measures to help prevent chronic diseases like type 2 diabetes and skin cancer.
• Funding of vaccines under the National Immunisation Program to prevent conditions such as human papilloma virus, rotavirus and Q fever.
• Streamlining human research ethic reviews to reduce red tape and minimise delays in the start of multi-centre clinical trials in Australia, and
• Recently announced measures in the Industry portfolio to lift investment in innovation, including changes to allow increases in foreign-owned R&D to be eligible for the 175% R&D tax concession.

These and other measures will help improve the health of Australians and Australian industry now and into the future.

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Contact Person:

Jamie Nicholson
Media Communications Manager
Phone: 0419 220 293
Email: Jamie.Nicholson@medicinesaustralia.com.au

Medicines Australia has congratulated the Federal Government on its industry statement, Global Integration.

“The innovative pharmaceutical industry welcomes the Government’s recognition that there are significant spill over benefits to the wider economy from attracting investment by global multinational companies. Their investments create high value add jobs, increase access to new technologies and provides great opportunities for Australian researchers.

“The Federal Government focus on increasing productivity and innovation and recognising the importance of global supply chains is particularly welcome,“ Chief Executive, Ian Chalmers, said today.

“Today’s announcement by the Prime Minster and the Industry Minister includes incentives for global pharmaceutical companies to conduct more research here in Australia.”

“The pharmaceutical industry already invests about half a billion dollars per annum in research and development (R&D) in Australia and exports around $3.5 billion in pharmaceutical products. The proposed changes to the R&D tax concession will encourage more R&D to be undertaken in Australia by global pharmaceutical companies.”

“This is a great opportunity for Australia’s universities, medical research institutes, hospitals and private research firms. They also stand to benefit as a large proportion of all pharmaceutical R&D is undertaken in collaboration with these organisations.”

“Government recognition of the importance of stimulating investment in Australia, when the global environment is so intensely competitive, is particularly encouraging,” Mr Chalmers said.

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Contact Person:

Jamie Nicholson
Media Communications Manager
Phone: 0419 220 293
Email: Jamie.Nicholson@medicinesaustralia.com.au

Medicines Australia has commended the Australian Labor Party on the release today of a discussion paper on innovation.

“A critical issue for the next election will be the role of innovative manufacturing industries in securing Australia’s future,“ Medicines Australia’s Chief Executive, Ian Chalmers, said today.

“The Labor Party’s release of a discussion paper on innovation is therefore a timely and important contribution to debate on the future development of Australian industry.”

The ALP paper, New Directions for innovation, competitiveness and productivity, makes the important point that the long term prosperity of Australia’s economy, industry and business rests in being more innovative and more productive.

“The pharmaceutical industry is key contributor to Australia’s ongoing commitment to the continuing development of a prosperous, knowledge-based economy.”

The Australian pharmaceutical industry invests around half a billion dollars in research and development every year, employs 15,000 people in highly skilled jobs and exports medicines worth $3.5 billion per annum.

“Key to the pharmaceutical industry’s success in Australia is a focus on innovation, leading edge technologies, research, workforce skills and knowledge. Medicines Australia notes that the importance these themes is highlighted in the paper released today by Mr Rudd and Senator Carr.”

“Labor’s commitment to further internationalise Australian innovation policy and research is to be commended,” Mr Chalmers said.

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Contact Person:

Jamie Nicholson
Media Communications Manager
Phone: 0419 220 293
Email: Jamie.Nicholson@medicinesaustralia.com.au

Medicines Australia has appointed Mr Jeays Lilley as its new Chairman, effective immediately.

Welcoming the appointment, Medicines Australia’s Chief Executive, Ian Chalmers, said, “Jeays’ extensive knowledge and experience means he is well placed to progress the strategic priorities of the innovative medicines industry.”

Mr Lilley has been Managing Director of AstraZeneca Pty Ltd since 1999. In January 2001, his role was expanded to include that of Area Director, AstraZeneca Australia, New Zealand and South Africa

This appointment adds to Mr Lilley’s distinguished record of achievement for the innovative medicines industry. He was elected to the Board of Medicines Australia, then known as the Australian Pharmaceutical Manufacturers’ Association, in 1999, and was previously Medicines Australia’s Chairman from 2000 to 2003.

Mr Lilley’s appointment follows the resignation of Mr John Young, who was Medicines Australia’s Chairman from September 2005 to January 2007. Mr Young has relocated to the UK following his promotion to Chairman and Managing Director of Pfizer UK.

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Contact Person:

Jamie Nicholson
Media Communications Manager
Phone: 0419 220 293
Email: Jamie.Nicholson@medicinesaustralia.com.au

“Accusations of deliberately created shortages in the supply of cheaper, generic medicines in Australia reported today in the Daily Telegraph are unfounded,” Medicines Australia Chief Executive Ian Chalmers said today.

The article claims that the supply of older medicines is being deliberately manipulated to force people to buy newer, more expensive medicines.

“I call on anyone who believes they may have evidence of market manipulation to take their concerns directly to the Australian Competition and Consumer Commission.

“The Australian Government will only allow pharmaceutical companies to charge higher prices for innovative new medicines if consumers also have access to older, generic alternatives at a cheaper price. The Government subsidises wholesalers and pharmacists to ensure they always carry a range of lower cost generic medicines.

“Innovative pharmaceutical companies are focused on researching, developing and supplying leading edge medicines so patients can get the medicines they need, when they need them.” Mr Chalmers said.

Medicines Australia companies are committed to working with the Australian Government to ensure that Australia’s health care system, based on patient choice and universal access, remains one of the best in the world.

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Contact Person:

Jamie Nicholson
Media Communications Manager
Phone: 0419 220 293
Email: Jamie.Nicholson@medicinesaustralia.com.au