Healthy Skepticism Library item: 5643

Warning: This library includes all items relevant to health product marketing that we are aware of regardless of quality. Often we do not agree with all or part of the contents.

Publication type: media release

Samuel G.
Tougher reporting under revised drug companies code
Australian Competition and Consumer Commission ( ACCC ) 2006 Jul 26
http://www.accc.gov.au/content/index.phtml/itemId/755224/fromItemId/142

Notes:

Ralph Faggotter’s Comments:

“ …significantly greater level of disclosure and transparency, requiring MA to publish details of all functions sponsored by pharmaceutical companies. “

It is hard to know what difference this will make unless a third party ( eg journalist) takes it upon themselves to regularly convert this ‘transparency’ of information from the MA website- or where-ever it appears ( probably it will be hidden somewhere obscure) into a form which is meaningful to, and accessable to, a mass audience.

Full text:

Tougher reporting under revised drug companies code

http://www.accc.gov.au/content/index.phtml/itemId/755224/fromItemId/142

The Australian Competition and Consumer Commission has imposed an
important condition on a revised code governing drug companies dealings
with doctors.

“The condition will raise the level of transparency about functions
sponsored by pharmaceutical companies”, ACCC Chairman, Mr Graeme Samuel,
said today. “It will require a greater level of detail about the
functions including the cost and the type of hospitality provided. The
information will also be available to the public, via a website, in a
timely manner”.

The code which was developed by Medicines Australia, the industry’s
national association, governs the activities of pharmaceutical companies
when they promote prescription medicines to doctors.

It regulates advertising of prescription drugs to the medical
profession. Advertising of prescription drugs to consumers is
prohibited by the Therapeutic Goods Administration.

The code regulates matters such as drug company sponsorship of medical
conferences; the payment of travel and accommodation expenses of doctors
attending such conferences; and the provision of other forms of hospitality.

“The ACCC believes the new edition of the code contains some
improvements”, Mr Samuel said. “However, the ACCC recognises that this
is a self regulatory code and thus it is unclear how effective it is in
actually regulating drug companies’ conduct. The ACCC has required as a
condition of authorisation of the code significantly greater level of
disclosure and transparency, requiring MA to publish details of all
functions sponsored by pharmaceutical companies.

“The condition aims to assist scrutiny of sponsorship activities of
pharmaceutical companies by the general public. The ACCC believes the
enhanced transparency will bring about greater accountability on the
part of pharmaceutical companies in relation to their sponsorship
activities and will enable the public to assess whether the code is
being effectively enforced”.

The code has been re-authorised* for three years. More information
regarding the applications and a copy of the determination are available
by following the Authorising anti-competitive conduct and Authorisations
links.

Media inquiries

• Mr Graeme Samuel, Chairman, 0408 335 555
• Ms Lin Enright, Director, Public Relations, (02) 6243 1108, 0414 613 520

Release # MR 161/06
Issued: 26th July 2006
Related register records

Background

*The ACCC has the function, through the authorisation process, of
adjudicating on certain anti-competitive practices that would otherwise
breach the Trade Practices Act 1974. Authorisation provides immunity
from court action, and is granted where the ACCC is satisfied that the
practice delivers a net public benefit.