Medicine Cabinet
By Teodoro B. Padilla
A “new dawn for Philippine healthcare” is how the World Health Organization described the enactment in February 2019 of the Universal Health Care (UHC) Act.
It is a fitting description. The landmark law automatically enrolls all Filipino citizens in the National Health Insurance Program and prescribes complementary reforms in the health system. It gives every Filipino access to the full continuum of health services that we need, while protecting us from enduring financial hardship as a result.
The global movement to achieve UHC got a huge boost on Dec. 12, 2012 when the United Nations (UN) unanimously endorsed a historic resolution urging all countries to accelerate progress toward UHC as an essential priority for international development. The UN officially designated Dec. 12 that year and of each year thereafter as International Universal Health Coverage Day.
Three months ago, the UN General Assembly held a high-level meeting on universal health coverage. Themed “Universal Health Coverage: Moving Together to Build a Healthier World,” the meeting aimed to accelerate progress toward universal health coverage, including access to quality essential healthcare services and access to safe, effective, quality, and affordable essential medicines and vaccines for all.
The Pharmaceutical and Healthcare Association of the Philippines (PHAP) fully supports the attainment of Universal Healthcare in the country. It aims to partner with the government for an access to medicines program on a UHC platform. Since 2010, PHAP has continued to engage in policy discussions on UHC being the more sustainable approach to address healthcare gaps and improve access to health particularly for the poor.
The UHC Act signed early in 2019 acknowledges that the government is the stakeholder that can effectively leverage its purchasing capacity in the medicines market. Under the UHC Act, the government will become the key purchaser of medicines and health services, drive up volumes with pooled procurement, agree on reasonable prices, and manage the supply chain efficiently.
The Philippine Institute for Development Studies (PIDS) paper on “Overcoming Barriers to Medicine Access in the Philippines” recommends that this “pooled procurement of medicines by the public sector, being done presently, should be expanded significantly to attract more suppliers in the market. It gives the public sector leverage in getting medicines prices further down. The public sector can distribute the medicines it procures for the fifth of the population who don’t have the purchasing power to acquire medicines even at reduced prices.”
A pooled procurement system helps address the need for low-priced quality essential medicines of the public sector which could be used for distribution to patients at a reduced price. Studies indicate the benefits of a pooled procurement system such as:
• Reduction in unit purchase prices;
• Improved quality assurance;
• Reduction or elimination of procurement corruption;
• Rationalized choice through better-informed selection and standardization;
• Reduction of operating costs and administrative burden; and
• Increased access to essential medicines.
Ultimately, the people stand to benefit from pooled procurement. The government will be able to make medicines available for more people. Every Filipino who wishes to take advantage of the availability of quality medicines at lowered prices may also go to government hospitals.
With pooled procurement, the implementation of an efficient and responsive Supply Chain Management is crucial in ensuring the uninterrupted availability and accessibility of medicines even in far-flung areas.
The establishment of a supply chain management system includes data-gathering, forecasting, procurement, warehousing, and inventory management, among other processes. This also covers quality assurance management to ensure that health products consistently meet the standards of safety, efficacy, and quality throughout the supply chain, from manufacturing up to distribution, and finally to the use of the patient.
The private sector, through PHAP members, can assist in the enhancement of the country’s medicine supply chain management system. This means no more expired medicines and no more shortages in hospitals and far-flung barangays.
Let this dawn lead to an everlasting day of hope for all Filipinos!
Teodoro B. Padilla is the executive director of Pharmaceutical and Healthcare Association of the Philippines (PHAP). PHAP and its member companies represent the research-based pharmaceutical and health care industry.