Ex Health Minister Urges Govt To Postpone Mandatory Drug Price Display

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 Dr S Subramaniam warns the move will have serious implications on the primary healthcare system and result in severe economic losses.
Former health minister Dr S Subramaniam said there was an urgent need for the ministry to go back to all stakeholders to better understand the actual situation on the ground and reconsider the move.PETALING JAYA: A former health minister has urged the government to postpone the implementation of mandatory drug price displays in private healthcare facilities, particularly general practitioner (GP) clinics, saying that the repercussions on the sector will be serious
This comes after the government yesterday said it is proceeding with making the policy mandatory starting today, despite the Malaysian Medical Association (MMA) claiming that it was not finalised yet.
Dr S Subramaniam said there was an urgent need for the ministry to go back to all stakeholders to better understand the actual situation on the ground and reconsider the move.
He said the findings from the cost-benefit analysis (CBA 2.0) conducted by the ministry in collaboration with the Malaysia Productivity Corporation have clearly outlined the long-term impact of the move, which has been opposed by the healthcare sector.
“The analysis clearly outlines the potential closure of up to 2,600 private clinics, with a projected RM206 billion net economic loss over 15 years and the risk of job losses ranging from 91,000 to 136,000.
“These are not just numbers, they represent the very foundation of our primary healthcare system. I urge the government to take these implications seriously and avoid policies that may destabilise the private health sector,” he said in a statement.
Yesterday, it was announced that the enforcement of the new rule from May 1 would be carried out by the health ministry with the guidance and cooperation from the domestic trade and cost of living ministry. The two ministries reiterated that this initiative is in line with the government’s agenda of ensuring price transparency for drugs.
Subramaniam said the move is counterproductive especially to standalone GP clinics, as they operate on a hybrid model where drug sales help subsidise consultation fees, which are strictly regulated.
He said mandating public price displays for medications in such a setting, without reforming consultation fee caps, is both impractical and potentially damaging.
“This policy risks undermining the sustainability of standalone clinics, many of which serve as the first point of contact for patients.
“Malaysia’s private primary care pricing is among the most competitive globally and has not been a significant contributor to medical inflation. Disrupting this balance may lead to unintended cost burdens on the rakyat,” he added.
Subramaniam, who is a former MIC president, urged the government to defer implementation until a comprehensive reform is undertaken after an in-depth discussion with all stakeholders.
He said Malaysia’s healthcare financing model requires a broad, structural review, adding that proposals like mandatory drug price displays should be part of a comprehensive reform agenda and not introduced in isolation. - FMT

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