The Department of Health (DoH) will continue with the implementation of the Government Mediated Access Price (GMAP) despite the request made by the Drugstores Association of the Philippines (DSAP) to suspend the second round of voluntary medicine price reductions that took effect last March 31.

Dr. Robert So, director of the National Center for Pharmaceutical Access and Management (NCPAM), said there is no reason to take back the lowering of prices of 98 essential medicines as the price cuts were voluntarily made by the drug manufacturers themselves.

“Why will they ask that when the manufacturers themselves brought down the prices? This is a voluntary reduction from the manufacturer’s end which means the drugs are sold to them at a lower price. The drugs are being sold to them at a much lower price as early as when the announcement was made or even way before that because some manufacturers brought down their prices as early as January.”

Despite the GMAP, So said the earnings of drugstore owners are still protected by a profit margin “so they have no reason to say they are losing profit.”

Last Monday, it was reported that DSAP asked for the suspension of the GMAP citing reimbursement problems with pharmaceutical firms.

Since drug price cuts were implemented last August, drug manufacturers were mandated to give rebates on unsold drugs that were bought at the old price.

So said the DoH has not received a formal request or complaint on drug price reimbursements. “There were only anecdotal requests,” he said.

“But companies said they have paid P1 billion, at least, worth of rebates. An example is the Capitol Medical Center which said that they have no problem with rebates because drug manufacturers have already paid them the full amount.”

The DoH announced last month the second round of GMAP reductions that covered 98 medicines.

These are drugs for dialysis, cancer, prostatic disorders, asthma, depression, hypertension, cholesterol, bladder disorders, psychosis, coagulant (blood clotting), eye medicines, hepatitis, antibiotics, pain relievers, dialysis solutions and medical devices.

The first round of drug price reductions was initiated in August last year that covered more than 100 medicines. The second round was implemented last March 31.

RA 9502 or the Universally Accessible cheaper and quality medicines act of 2008 includes the following penalties for violators: “Any person or entity who shall refuse to carry or sell drugs and medicines pursuant to the provisions of this Chapter shall be punished with a fine of not less than P100,000 but not more than P500,000, at the discretion of the court. For the succeeding offense, the penalties shall not be less than P500,000 but not more than P1 million, at the discretion of the court, and suspension or revocation of its license to operate (LTO), business or professional license, as the case may be.”