10 July 2020 - PHARMAC is proposing to standardise the way that it contracts for pharmaceuticals as a result of competitive procurement processes, creating a consistent approach between the community and DHB hospital markets and improving on the methods that it has used for many years.

At present, there are some key differences between how the agency manages competitive procurement in the community and DHB hospital markets:

• for community pharmaceuticals, PHARMAC awards Sole Supply Status to a product, which means that it becomes the only brand listed in the Pharmaceutical Schedule for funding in the community
• in DHB hospitals, PHARMAC awards Hospital Supply Status, which means that it becomes the primary brand that DHB hospitals buy and the supplier is assured of a certain share of the market, as determined by a Discretionary Variance limit

Read PHARMAC press release