Proposal to list medical devices supplied by Clinect NZ Pty Limited and Terumo Australia Pty Limited

Hospital devices Consultation Closed

PHARMAC is seeking feedback on a proposal to list medical devices supplied by Clinect NZ Pty Limited and Terumo Australia Pty Limited in Part III of Section H of the Pharmaceutical Schedule from 1 December 2020.

What we’re proposing

We propose to list medical devices in the following categories:

  • a range of non-dedicated and consumable infusion devices (“infusion devices”) and non-dedicated feeding devices (“feeding devices”), through a non-exclusive provisional agreement with Terumo Australia Pty Limited (“Terumo”); and
  • a range of non-dedicated and consumable infusion devices through a non-exclusive provisional agreement with Clinect NZ Pty Limited (“Clinect”)

Consultation closes at 4pm Tuesday 27 October 2020 and feedback can be emailed to tyson.edwards@pharmac.govt.nz.

What would the effect be?

From 1 December 2020, infusion devices supplied by Clinect and infusion and feeding devices supplied by Terumo would be listed under a proposed national agreement for all DHB hospitals to purchase under, subject to consultation and approval by PHARMAC’s Board or delegate (“Agreement”).

The Agreement would not be for sole supply and DHBs could continue to purchase other suppliers’ brands of products in these categories of devices.

The Agreement would supersede any existing DHB contracts with Clinect and Terumo for the products included in the Agreement. Any product listed in the Agreement and purchased by a DHB would be in accordance with the terms and conditions, including price, stated in the Agreement effective from the date of listing on the Pharmaceutical Schedule.

Clinect and Terumo would provide appropriate educational services that would be tailored to the individual needs of DHBs, in formats and at times as required by DHBs.

Pricing for the devices in this Agreement, subject to any prior termination of the Agreement, would not be increased without prior consultation and approval by PHARMAC.

Who we think will be interested

  • DHB clinical staff in a range of different clinical settings inluding:
    • Procurement officers and supply chain personnel
    • Clinical engineers and maintenance services
    • ICU, emergency, and critical care staff
    • Anaesthetists
    • Perioperative care staff
    • Surgeons
    • Dietitians
    • Nurses (both inpatient and community based)
    • Geriatricians
    • Neurologists
    • Gastroenterologists
    • Paediatricians
  • Suppliers and wholesalers

About the medical devices

Infusion devices

Infusion devices are medical devices used, or associated with devices used, in the infusion of fluids such as medications, intravenous solutions (such as saline, glucose, and electrolyte solutions), blood, total parenteral nutrition (TPN) solutions into the body. This includes medical devices used in intravenous therapy as well as other infusion therapies.

PHARMAC’s infusion devices category includes:

  • non-dedicated and consumable infusion devices not associated with infusion equipment; and
  • infusion equipment and associated devices.

Feeding devices

Feeding devices are medical devices used to deliver nutrition and hydration into the body through the gastrointestinal tract (enteral nutrition). Devices that supply nutrition via the circulatory system (parenteral nutrition) are contracted under the Infusion devices category.

Providing nutrition to patients who cannot consume adequate food and/or fluids orally is important to optimise healing, reduce recovery times, and lower complication rates. Feeding devices are used by patients with a wide variety of clinical conditions and across both acute and community-based settings.

PHARMAC’s feeding devices category includes:

  • Feeding equipment and associated devices
  • Non-dedicated feeding devices

Why we’re proposing this

In 2018 PHARMAC issued Requests for Proposals for:

The RFPs were for non-exclusive national agreements for listing on the Pharmaceutical Schedule.

PHARMAC has been working with suppliers who responded to the RFPs, and proposals were progressed to contract negotiation to seek provisional agreements. These proposals are the latest to arise from this process and we expect to consult on further provisional agreements with suppliers of infusion and feeding devices throughout 2020 and 2021.

Details about our proposal

PHARMAC has entered into provisional agreements with Clinect and Terumo for the supply of infusion and feeding devices. The proposal would result in Pharmaceutical Schedule listings for:

  • 3 non-dedicated & consumable infusion devices supplied by Clinect under the brand names Neria and Insuflon;
  • 34 non-dedicated & consumable infusion devices supplied by Terumo under the brand names Surflo. SurFlash, Safeed, and Surshield; and
  • 7 non-dedicated feeding devices supplied by Terumo under the brand name VR Medical

Further information, including pricing and contractual details, has been provided to DHB Procurement personnel. Clinicians interested in further detail on what this change means for their DHB should engage with their Procurement teams.

To provide feedback

Send us an email: tyson.edwards@pharmac.govt.nz by 4pm Tuesday 27 October 2020.

All feedback received before the closing date will be considered by PHARMAC’s Board (or its delegate) prior to making a decision on this proposal.

Feedback we receive is subject to the Official Information Act 1982 (OIA) and we will consider any request to have information withheld in accordance with our obligations under the OIA. Anyone providing feedback, whether on their own account or on behalf of an organisation, and whether in a personal or professional capacity, should be aware that the content of their feedback and their identity may need to be disclosed in response to an OIA request.

We are not able to treat any part of your feedback as confidential unless you specifically request that we do, and then only to the extent permissible under the OIA and other relevant laws and requirements. If you would like us to withhold any commercially sensitive, confidential proprietary, or personal information included in your submission, please clearly state this in your submission and identify the relevant sections of your submission that you would like it withheld. PHARMAC will give due consideration to any such request.