[e-drug] Crisis in the Australian PBS (cont)

E-drug: Crisis in the Australian PBS (cont)
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Dear Colleagues,

I have appended another article on this matter. Those with WWW access
might also like to view our PBAC protest web site at:
http://www-sph.health.latrobe.edu.au/PBAC/.

Cheers
Ken

Dr. Ken Harvey, Senior Lecturer, School of Public Health,
Room 221, Building HS1 (NW9),
La Trobe University, Bundoora, 3086, Australia,
Telephone +61 3 9479 5773,
Facsimile +61 3 9479 1783,
Personal mobile 0419181910,
Internet: http://www-sph.health.latrobe.edu.au/kharvey/
"Ken Harvey" <k.harvey@latrobe.edu.au>
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DRUG INDUSTRY CELEBRATES A WIN IN THE BATTLE FOR BENEFITS.
Reprinted under the fair use doctrine of international copyright law:
http://www4.law.cornell.edu/uscode/17/107.html

Published 23 Feb 2001, Australian Financial Review

Is the pharmaceutical industry winning the drug war with the
regulators? Ray Moynihan reports.The pharmaceutical industry's chief
lobbyist, Mr Alan Evans, ridiculed senior health experts this week as
being "legends in their own minds".

But when the dust settles in the current controversy, Mr Evans and his
pharmaceutical colleagues may well emerge as the real legends at least
within their industry.

As he celebrates just one year in the job as chief executive of the
Australian Pharmaceutical Manufacturer's Association, Mr Evans has a
lot to be proud of: the tough independent committee that makes
recommendations about A$4 billion of public drug subsidy has been
almost totally replaced; former members considered hostile to the
industry have been dumped or refused re-appointment; and an industry
figure now has a seat at the table.

Some drug companies and pharmacy groups have welcomed the shake-up of
the Pharmaceutical Benefits Advisory Committee, and the federal
Minister for Health, Dr Michael Wooldridge, claims "we have a better
committee".

By contrast, many groups, including the World Health Organisation and the
international medical lobby group, Medecins Sans Frontieres, have
expressed grave concerns about the changes.

Most controversial was the appointment to the committee of a
long-time drug executive and lobbyist, who remains a director of a
bio-pharmaceutical
company.

Supporters say the appointment brings valued skills and, as there are 11
other members, it will not be able to exert undue influence.

Critics, however, argue that it could inhibit the free flow of debate among
independent experts and is emblematic of the pharmaceutical industry's
growing influence over government policy.

The Nobel Prize-winning Medecins San Frontieres warns of a dangerous
precedent: "At a time when global health decisions are increasingly shaped
by private interests, Australia's PBAC has been a beacon," it said.

Almost all of the PBAC's corporate memory is now gone, and critics
fear key experts may have been deliberately targeted an allegation
that Mr Evans has strenuously denied.

However, documents revealed on the ABC's Four Corners this week
provide the first definitive evidence that PBAC membership was
something the pharmaceutical industry wanted changed, and fast.

An APMA document dated October 27, 2000, which Mr Evans described as
an "aide memoir", stated: "Industry greatly concerned about
membership of PBAC, particularly the public hostile attitude of some
members and staff to industry."

The document then notes the industry's concern that changes to membership
may not occur until 2001. As it happened, the Howard Government put
new laws through Parliament and the entire committee was effectively
dismissed before Christmas.

Mr Evans told The Australian Financial Review this week: "We were
concerned there appeared to be a hostile attitude on the committee,
but it does not mean industry targeted any members." He also
confirmed that his "aide memoir" was distributed to a group of drug
company executives some time before a meeting with the Prime Minister
in November.

Dubbed the "Bennelong Group", because they are based in John Howard's
Sydney electorate, the executives met the Prime Minister on November
10, but according to spokespeople from AstraZeneca, Lilly and Amgen,
they talked about investment and innovation, not the PBAC.

Rather than the "Bennelong Group" being a sinister lobbying outfit, Lilly's
director of corporate affairs and health economics, Mr David
Grainger, said it was a coincidence that company offices happened to
be situated in Mr Howard's electorate.

He thought the group had only ever had a couple of meetings.

The managing director of Amgen, Mr Russell Edwards, told the AFR: "We
live in a democracy. It's reasonable to be able to talk about your
industry's
initiatives with your local member."

The PM's office said he meets with the Bennelong Group from time to time to
discuss industry related issues, but did not talk about the PBAC at the
November meeting.

Meanwhile, the new board is getting down to the business of assessing new
drugs, after the belated appointment of Consumer Health Forum chief, Mr
Matthew Blackmore.

In some ways, this battle has been and still is about who has the ear of the
Government.

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