The Tribune

By YOURI KEMP

Tribune Business Reporter

ykemp@tribunemedia.net

Bahamian pharmacists yesterday said they will offer the Government an alternative “economic relief” plan for consumers that does not resort to wholesale and retail price controls.

Shantia McBride, the Bahamas Pharmaceutical Association’s (BPA) president, told Tribune Business she wants to reach a compromise with the Davis administration on easing inflationary pressures for Bahamians and is planning to meet with government officials by tomorrow to share her ideas..

Following the Association’s meeting with Dr Michael Darville, minister for health and wellness, at the weekend, she added that members decided they will draft a counter-proposal to the Government’s price control model.

“We were pleased with what Dr Darville had to tell us and we saw his communication coming out of our meeting, and it is so far, so good,” Ms McBride added. Pharmaceutical retailers, wholesalers and representatives from the Association participated in the meeting with Dr Darville.

The event was called to address private sector concerns over the Price Control (Drug) (Amendment) Regulations 2022, which were unveiled last week after the Prime Minister announced restrictions were being imposed on retail and wholesale mark-ups (margins) in an effort to ensure critical medicines remain affordable for Bahamians amid sustained across-the-board price increases that have sparked a cost of living crisis.

The new regulations impose price-controlled mark-ups ranging from 15 percent to 18 percent on pharmaceutical wholesalers. For retailers, the range is from 35 percent to 40 percent. The medicines covered include vaccines, anti-diabetic drugs, decongestants, laxatives, contraceptives, antacids, anti-hypertension medicines, cough preparations, cardiovascular agents and serums.

The new prices and mark-ups were due to take effect yesterday, but Dr Darville and his permanent secretary, Colin Higgs, informed the pharmaceutical industry that more time will be allowed for the sector to make the adjustments. As a result, no sanctions, fines and penalties were to be levied against those who failed to meet the deadlines.

“The minister of health and wellness confirmed that recognising the effective date for implementation of the regulations is Monday, October 17, 2022, time allotted for adjustments on inventory has been given in light of the number of items listed,” the ministry said. “Minister Darville confirmed the Government’s position by adding that no penalties will be exacted while these inventory adjustments are being made. He described the meeting with the group as fruitful.”

Ms McBride confirmed the Association is drafting an alternative proposal that will provide “economic relief” for consumers. “We agree with the non-enforcement of the price control amendments, and we anticipated the communication that followed along with it between pharmacies, wholesalers, retailers and the Government,” she said.

“We also anticipate an early response to the meeting, and I’m hoping by tomorrow [today] or Wednesday we will be in the office of the minister and all are involved so that we can now prepare our information to present to the Government, and let them know we are standing by our word to meet with them and create some type of economic relief.”

Agreeing that economic relief for consumers “must happen now; it can’t wait”, Ms McBride said: “We want to move hastily with the Government in finding some resolution to this and giving that relief to the public now. I would not say we are rejecting the price control proposal, but what we are asking for is an extension so we both can determine the way forward for both parties.”

Ms McBride did not give details on the industry’s economic relief proposal since wholesalers and retailers, as well as the Association, will be involved. “The BPA may not be the only aspect of it, and the Government has to be involved and all parties have to agree,” she said.

“We are happy to help our fellow man through these tough economic hardships, so we’re open - and the conversation is open - to anything once it gives relief and something that allows pharmacies to continue to operate so we can continue to provide the best healthcare while giving that relief.”