Proposal to list a range of orthopaedic implants and associated products supplied by LMT Surgical Pty Ltd
PHARMAC is seeking feedback on a proposal to list a range of orthopaedic implants and associated products supplied by LMT Surgical Pty Ltd (“LMT”) in Part III of Section H of the Pharmaceutical Schedule from 1 May 2017.
In summary, this proposal would result in:
Around 1,300 products which are already supplied to DHB Hospitals being supplied by LMT under a proposed national agreement (“Agreement”) that all DHBs may purchase under, subject to consultation and approval.
This Agreement would not be a sole supply agreement, and DHBs may continue to purchase other suppliers’ brands of orthopaedic implants and associated products.
- LMT providing educational services that will be tailored to suit the needs of individual DHB Hospitals in formats and at times as required by DHB Hospitals.
- An estimated total national savings to DHBs of approximately $20,000 per annum based on current usage. Pricing for LMT products in the Agreement, subject to any prior termination of the Agreement would not be increased before 1 May 2020.
PHARMAC welcomes feedback on this proposal. To provide feedback, please submit it in writing by 4pm Monday, 27 March 2017 to:
Senior Device Category Manager
PO Box 10254
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 with LMT for a range of orthopaedic implants and associated products. 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.
Brand ranges in the agreement include:
Distal joint implants
If the Agreement is approved by PHARMAC’s Board or its delegate, LMT’s range of orthopaedic implants and associated products would be listed in Part III of Section H of the Pharmaceutical Schedule, which contains products with national agreements that DHBs are able to purchase under.
The Agreement includes terms for education services to be provided by LMT to DHB personnel on the appropriate use of its orthopaedic implants and associated products, which is to be provided in formats and at times as agreed with individual DHBs.
In April 2016 PHARMAC published a request for proposal (“RFP”) for non-exclusive national agreements for the supply of orthopaedic implants and associated products. Following closure of this RFP we have been working with a number of suppliers in order to seek provisional agreements with them. This is one of the provisional agreements arising from that process, and we intend to consult on proposed agreements with other suppliers over the next few months.