The Tribune

• No inspectors at retailers despite deadline

• Halkitis: We won’t reverse our decision

By LEANDRA ROLLE

Tribune Staff Reporter

lrolle@tribunemedia.net

ECONOMIC Affairs Minister Michael Halkitis yesterday insisted the government will not reverse its decision to enforce new price control regulations despite the “unexpected” shutdown action taken by pharmacies yesterday.

He said government expects the changes to be implemented and warned that operators who fail to adhere to the policies will face the consequences.

Private pharmacies are to reopen from 8am this morning after shutting down operations across the country on Tuesday after the government agreed to a meeting today between Prime Minister Philip “Brave” Davis and industry representatives.

Mr Halkitis said last night the meeting was agreed on the stipulation that the businesses end their action. Some pharmacies did open their doors yesterday afternoon, this newspaper understands.

The sector does not support the government’s expanded price control regime, including the reduction of the profit margin on price-controlled drugs, and has since submitted proposals with alternatives that could offer relief to Bahamians, but at the same time not hurt the pharmaceutical industry.

Yesterday morning, the Bahamas Pharmaceutical Association (BPA) said they had yet to hear back from officials, prompting members to gather at the Office of The Prime Minister yesterday in a bid to speak with Prime Minister Philip Davis.

 When asked whether the government intended to meet with operators ahead of yesterday’s Cabinet meeting, Mr Halkitis said Cabinet was already meeting and advised pharmacy owners to return to their stores.

 Mr Halkitis also explained the reason why officials have yet to respond to BPA, telling reporters officials were still in the process of examining the contents of their proposal to come up with a response.

 However, while doing so, he said the sector decided to close its doors in a move he said that was “totally unexpected.”

 “I received a letter from the pharmacy association on Thursday past, having met with them the previous week. We’re in the midst of analysing the contents of the letter and preparing our response, when, you know, totally unexpected we have the shutdown without notice,” he told reporters before yesterday’s Cabinet meeting.

 “We expect the pharmacies to follow the law. All right, we understand that there is some concern about the complete implementation of the amendments and as you mentioned, there was some concern about people being afraid of the fines, but we want to stress that we expect complete implementation.

 “We are prepared for those who are in the middle of implementation and might need a few days to make sure that they are completely, have completely implemented the amendments, we are prepared to forego enforcement but we are not prepared to countenance total disregard for the law and taking a stance as if they will not implement at all.

 “We expect them to follow the law. Having said that, as I said, we have an understanding that some of them, they were concerned about complete implementation and thus being exposed to fines and we are prepared to work with those who fall into that category.”

 However, pharmacists told reporters yesterday that they were expecting both parties to come up with an amicable resolution before the government started enforcing the rules.

 Hence, the reason they closed their doors was not to be found in breach of the law.

 However, Minister Halkitis said the only thing the government assured operators was that enforcement of the new policies would take effect November 1 instead of the initial October 17 target.

 He also reminded them that the new policies were only temporary and said in this vein, pharmacies should remain open and bide with the changes until the government comes up with a more permanent solution to bring relief to the Bahamian public.

 “Let me remind the public that these amendments were put in place in an effort both in terms of groceries and in terms of pharmaceuticals to bring some relief on a temporary basis, three months in the case of pharmaceuticals, six months in the case of the grocers,” Mr Halkitis continued.

 “During that time, we would look at working towards, you know, methods where we can have a more permanent solution. Having said that, in the case of pharmaceuticals out of the three months now, we are already two and a half weeks into that and we’re still having, you know, talks about continued consultations.

 “We think it’s more constructive for pharmacies to open and we expect them to open.”

 As for those operators, including food retailers, who refuse to enact the changes, Mr Halkitis said: “We are not prepared to countenance a disregard for the law.”

 This comes after Phillip Beneby, president of the Retail Grocers Association (RGA), which represents 130 food stores throughout The Bahamas, said members will not implement the original price control proposal by the deadline.

 Still, Mr Halkitis asserted: “We can understand if someone says ‘we need some time, we’re working towards it, but we need time for full implementation.’ What we will not countenance is someone saying ‘I will not obey the law.’”

 He insisted that there will be enforcement and those who refuse to obey the law will suffer the consequences.

 Speaking to reporters outside OPM yesterday, Shantia McBride, the Bahamas Pharmaceutical Association’s (BPA) president, said throughout the entire process, the body has been “disrespected and bamboozled”.

 She also warned that if the pharmaceutical sector cannot reach a compromise with the government, difficult decisions may have to be made soon.

 “At this time, we cannot afford to be fined today (Tuesday),” she said, “and based on those margins, we cannot afford to close tomorrow (Wednesday) so if those margins are to continue even if they’re saying for three months, then some of our small pharmacies may close and we can’t have that for big or small pharmacies right now and if a small pharmacy closes, that may be one or two jobs but for a big pharmacy, that’s possibly ten to 20 and the wholesaler, much more and that ripples down to their family and community.”

 Asked yesterday if he was concerned about potential layoffs because of the move, Mr Halkitis said: “No.”