Pretoria: Government and the pharmaceutical sector have committed to working together to resolve challenges facing the sector. This comes after the Department of Health (DoH), led by Acting Director-General Professor Nicholas Crisp, met with sector leaders on Tuesday.

According to South African Government News Agency, the meeting also included senior officials from the Departments of Trade, Industry and Competition; Science, Technology and Innovation; National Treasury; and the Presidency; as well as the Competition Commission; the South African Health Products Regulatory Authority (SAHPRA) and the Medicines Pricing Committee. The meeting provided an opportunity for an exchange on the pressures facing the sector, including global geopolitical uncertainty and supply-chain disruptions. Industry representatives outlined the impact of current conditions, while the government shared its evolving localisation roadmap.

Participants acknowledged that, although medium- and long-term elements of the roadmap are being finalised, several urgent matters require immediate attention. The government promised to consider an extraordinary single exit price (SEP) adjustment, considering current pricing pressures. An agreement was reached to form a structured engagement mechanism that will meet regularly.

Priority areas identified for further engagement include a fair, transparent, and predictable single exit price adjustment mechanism that balances medicine affordability with sustainable supply. There is also a focus on strengthening SAHPRA and engaging with industry on regulatory requirements to minimise disruption and support economic growth and export competitiveness.

Other priorities include capital-investment support and export incentives to boost South Africa's pharmaceutical manufacturing capacity, transparent public-sector procurement rules, exploration of alternative reimbursement models to improve medicine affordability, and removal of unnecessary red tape to support investment.

The government emphasized its commitment to working closely with the industry to build a stronger pharmaceutical future, recognizing the sector's importance to patient access, medicine supply, public health, investment, employment, and South Africa's industrial-development objectives.