Proposal to list a range of medical devices used in the prevention of venous thromboembolisms (VTE Prevention) supplied by ArjoHuntleigh Limited

Hospital devices Consultation Closed

PHARMAC is seeking feedback on a proposal to list a range of VTE prevention products supplied by ArjoHuntleigh Limited (“ArjoHuntleigh”) in Part III of Section H of the Pharmaceutical Schedule from 1 July 2017.

In summary, this proposal would result in:

  • Schedule listings for 37 products being supplied by ArjoHuntleigh under a proposed national agreement that all DHBs may purchase under, subject to consultation and approval (“Agreement”).
  • DHBs continuing to be able to purchase other suppliers’ brands of VTE Prevention products, as the agreement would not be a sole supply agreement.
  • The products being available for DHBs to purchase at the PHARMAC negotiated prices from 1 July 2017.
  • ArjoHuntleigh providing servicing and maintenance of the equipment included in the Agreement.
  • ArjoHuntleigh providing educational services that will be tailored to suit the needs of individual DHB Hospitals in format and time as required by DHB Hospitals.
  • Estimated total savings to DHBs of approximately $377,000 per annum based on current usage.  Pricing for these products in the Agreement, subject to any prior termination of the Agreement would not be increased before 1 July 2020.                  

Feedback sought

PHARMAC welcomes feedback on this proposal. To provide feedback, please submit it in writing by Wednesday, 7 June 2017 to:

Ryan Graves
Device Category Manager
PHARMAC
PO Box 10254
Wellington 6143

Email: ryan.graves@pharmac.govt.nz

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. 

Details of the proposal

PHARMAC has entered into a provisional Agreement for the Flowtron range of VTE Prevention products in the Intermittent Pneumatic Compression sub-category of VTE Prevention. The exact product range and pricing in this proposal has not been included in this consultation for brevity, however we are making it available to Procurement Departments at DHBs.

If the Agreement is approved by PHARMAC’s Board or its delegate, ArjoHuntleigh’s range of VTE Prevention products would be listed in Part III of Section H of the Pharmaceutical Schedule from 1 July 2017, which contains products with national agreements that DHBs are able to purchase under.

DHBs would be able to continue to choose which VTE Prevention products they purchase.

The Agreement includes terms for servicing and maintenance of equipment to be provided by ArjoHuntleigh to DHB Hospitals, which is to be provided annually at times as agreed with individual DHBs. The details of the servicing and maintenance commitments will be made available to the appropriate DHB personnel for this consultation process.

The Agreement includes terms for training and education services to be provided by ArjoHuntleigh to DHB personnel on appropriate use of its VTE prevention products, which is to be provided at times as agreed with individual DHBs.

Background

In May 2016 a request for proposals (RFP) for medical devices used in the prevention of venous thromboembolisms was released requesting proposals for non-exclusive national agreements for a listing on the Pharmaceutical schedule and ArjoHuntleigh responded to this request.

PHARMAC has been working with a number of suppliers in order to reach an agreement with them and will be continuing to do so with others until the RFP process is concluded. The proposed agreement with ArjoHuntleigh is the first provisional agreement for the supply of VTE Prevention products that PHARMAC has consulted on, with further expected over the next few months provided we can reach agreement with suppliers.