Pharmacy predicts financial hit

DISPENSARY ISSUES: Member for Barker Tony Pasin sits at UFS Chemist with Federal Shadow Treasurer Angus Taylor express concerns about the 60-day dispensary policy with UFS Pharmacists Amelia Hancock and Prue Linnell.

Charlotte Varcoe

A LOCAL not-for-profit pharmacy is expecting to lose about $200,000 per year in profits after the Federal Government announced a 60-day medicine dispensary benefits scheme.

The scheme – which is expected to come into effect in September – allows patients to receive two months worth of common pharmaceutical benefits scheme listed medicines for the price of a single prescription rather than the current one month’s supply.

More than 300 common medicines listed on the scheme’s list will be implemented in three stages over the next 12 months.

Chair of Mount Gambier UFS Chemist board Terry Strickland said there were a number of concerns for the pharmacy which is projecting a significant loss due to reduction of money from scripts and income from retail sales.

UFS Chemist provides a range of free services including providing webster packs and free deliveries of filled scripts.

“These are indicative numbers only and might not reflect the number in the end but the shortfall is still quite significant,” Mr Strickland said.

“We are a pharmacy that provides a lot of services and in order to do that we have a membership and an obligation to provide discounted goods and services.

“We have a registered nurse on the staff and if we are unable to bridge that gap we have to look at how we staff it and whether we will have the same number of staff or whether we continue to deliver the service we have been trying to provide for almost 100 years.”

He said although there was a positive motive to provide cheaper healthcare, he wanted to know what support the Federal Government would give to pharmacies to help keep their “heads above water”.

“The further you are away from the main centres and where they store the main pharmacy molecules and supply, the more you are impacted by shortfalls and to store and maintain two months worth of prescriptions, many of them very valuable, is an issue,” Mr Strickland said.

“If the fridge goes down or if there is a storage issue we would be in big trouble but there are a lot of issues that are potential issues yet our main one for now is how can we keep going with the reduced income and still do what we do.”

He said the pharmacy guild had made contact with the Federal Government regarding these issues yet to his knowledge at the time, the Government had not acknowledged the issues.

“I think the Government has taken the praise of reducing the cost of medicines which this day in age is a good thing and I applaud that but there still might be other issues,” Mr Strickland said.

Federal Shadow Treasurer Angus Taylor also spoke on the issue during his fleeting trip to Mount Gambier/Berrin earlier this week.

Mr Taylor said the Federal Opposition was “deeply concerned” about the policies which could “risk the future” of pharmacies and businesses such as UFS.

“We are concerned about the 60-day dispensary and what it will do to pharmacists particularly those which have a role in regional communities,” Mr Taylor said.

“Pharmacists are right at the heart of any regional health system and damaging them means you are damaging the community as a whole.”

He said pharmacists typically provide a range of services to their customers including services to aged care homes and other medical services to community members.

“Those services are not profitable and the risk is we will lose these services in communities like Mount Gambier at a high cost,” Mr Taylor said.

“The risk is if the pharmacy is providing delivery services now, it may not be able to in the future.”

Despite his concerns, Mr Taylor stated he did believe in cheaper medicines which was “hugely important” but did not want it at the expense of the role and services pharmacies play in communities.

“We all want to see cheaper medicine but it has got to be done in a way that ensures the viability of local community pharmacies,” he said.

Member for Barker Tony Pasin also commented on the newly inducted policy, stating he had been contacted by a range of pharmacies across the Barker electorate merely days after the announcement.

“Here in Mount Gambier we are seeing a reduction in services, staffing and high prices for other services including others which are now free,” Mr Pasin said.

“Many remote communities rely on a pharmacy and this might end up in a situation where some remote pharmacies close.”

He said in some areas the pharmacies were the most qualified medical professionals and the decision may have the effect of closing pharmacies in remote and regional communities.

“In other areas it could see people lose their jobs,” Mr Pasin said.

“We were approached locally within days as UFS reached out but had almost every pharmacy across the electorate write to me expressing their concerns.”