Proposal to list medical devices supplied by Applied Medical New Zealand Limited

Hospital devices Consultation Closed

PHARMAC is seeking feedback on a proposal to list a range of endomechanical instruments, electrosurgical instruments, energy platforms and consumables:

("Endomechanical & Electrosurgical Products") supplied by Applied Medical New Zealand Limited ("Applied Medical") in Section H Part III of the Pharmaceutical Schedule from 1 April 2020.

Consultation closes at 4pm on Wednesday, 4 March 2020 and feedback can be emailed to

What would the effect be?

From 1 April 2020, Applied Medical’s range of endomechanical and electrosurgical products 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, DHB’s would be able to continue to purchase other supplier’s brands of endomechanical and electrosurgical products.

The Agreement would supersede any existing DHB contracts with Applied Medical for the medical devices included in the Agreement. Any medical devices listed in the Agreement, and purchased by a DHB, would be at the terms and conditions, including price, stated in the Agreement, effective from the date of listing on the Pharmaceutical Schedule.

As part of the Agreement Applied Medical would provide appropriate training and educational services and clinical support that would be tailored to the individual needs of DHBs

Pricing for the medical devices in the Agreement, subject to any prior termination would not be increased before 1 April 2023.

Who we think will be interested

  • Suppliers and Wholesalers
  • Clinical and non-clinical DHB staff:
    • Clinical/Biomedical Engineers
    • Surgeons
    • Perioperative staff
    • Surgical and general ward staff
    • Central sterile services personnel
    • Procurement and supply chain personnel

About endomechanical and electrosurgical products

Endomechanical and electrosurgical medical devices are used in a vast range of surgical specialties and procedures. Many have been specifically designed to be used for minimally invasive surgical techniques whilst others are only used in open surgery procedures. Some require power sources or other equipment to perform their function.

The endomechanical and electrosurgical products category encompasses the product ranges of endomechanical instruments, electrosurgical instruments, energy platforms and their associated consumable products This covers both disposable and re-usable options, as well as the portable power sources or other equipment that specific instruments may require to be functional.

Why we’re proposing this

In 2018 PHARMAC issued a request for proposals (RFP) for the supply of endomechanical instruments, electrosurgical instruments, energy platforms and consumables (“Endomechanical and Electrosurgical Products”)

The RFP was for non-exclusive national agreements for listing on the Pharmaceutical Schedule.

PHARMAC has been working with suppliers, who responded to the RFP, in order to seek provisional agreements, and this is the latest agreement to be negotiated with a proposed listing date of 1 April 2020.

We intend to consult on further provisional agreements, with other suppliers, over the coming months.

Details about our proposal

The proposal would result in 132 medical devices being listed in the Pharmaceutical Schedule covering the following brands:



Line items

Applied Medical


Applied Medical

Direct Drive



Kii ranges



Pricing and full product list has been made available to appropriate DHB personnel.

To provide feedback

Send us an email: by 4pm on Wednesday, 4 March 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.