Proposal to fund healthE Fatty Cream (oil in water emulsion)

PHARMAC is seeking feedback on a proposal to fund a new brand of oil in water emulsion
cream (healthE Fatty Cream) on the Pharmaceutical Schedule.
This proposal would result in:

• healthE Fatty Cream being listed in Section B and Section H of the Pharmaceutical
from 1 October 2009 at the following price and subsidy (ex-manufacturer and
exclusive of GST):

Chemical Presentation Brand Pack size Price and subsidy
Oil in water emulsion Cream healthE Fatty Cream 500 g $2.80

• healthE Fatty Cream would have subsidy and delisting protection until 30 September
2012.

Feedback sought
PHARMAC welcomes feedback on this proposal. To provide feedback, please submit it in
writing by Friday 10 July 2009 to:
Mike Bignall
Therapeutic Group Manager
PHARMAC
Email: mike.bignall@pharmac.govt.nz
Fax: 04 460 4995
Post: PO Box 10 254, Wellington 6143
All feedback received before the closing date will be considered by PHARMAC’s Board (or
Chief Executive acting under delegated authority) prior to making a decision on this
proposal.

Background
PHARMAC and Jaychem Industries Limited have entered into a provisional agreement
relating to the supply of oil in water emulsion cream (healthE Fatty Cream), which is made to
the same formulation as the currently funded Lemnis Fatty Cream.
We note that stocks of Lemnis Fatty Cream, as supplied by CSL Biotherapies, are almost
depleted and that that the supplier has notified that this brand will be discontinued at that
time. As a result Lemnis Fatty Cream will be delisted from the Pharmaceutical Schedule
later this year.
This proposal would ensure that a suitable alternative brand was funded to ensure continuity
of supply.