South African Pharmacists Criticise Price-Law Impasse

South African pharmacists' groups have criticised pledges by Health Minister Manto Tshabalala-Msimang to resolve conflict over new drug pricing laws, claiming no efforts have been made by the government to resolve the dispute.

The two sides remain at odds over the new framework, which fixes dispensing fees at ZAR26 (US$4.38), or at 26% of cost, despite a high court ruling in December that apparently overturned the measures. Pharmacy groups claim that fees are essential to the industry, as the law allegedly fails to allow reimbursement of fees charged in order to offset losses on price controls.

Meanwhile, the government has asked members of the public to report pharmacists who refuse to comply with the regulations, despite their ambiguous legal status. Further, there are claims that some healthcare companies have been charging patients at former price levels, while reimbursing at the new fixed rate. The reports appear only to have exacerbated the controversy, with authorities denying that they are to reconsider the new law.