South Africa to regulate private medicine prices

South Africa's controversial Health Minister Manto Tshabalala-Msimang has announced the next step in her stated objective of regulating health care costs via price controls, with the launch of new legislation. For the drug industry, the good news is that Ms Tshabalala-Msimang has widened her targets from drugs to other health care costs, according to the Business Day. In particular, she has blamed collusion and unjustified price rises in the past year, to justify intervention.

Opposition members of the National Assembly argued that the government's approach is counterproductive. Ruth Rabinowitz (Inkatha Freedom Party) warned that the Minister's new legislative proposals would contradict her objective of making health care more accessible and affordable.

Sandy Kalyan, of the main opposition party, the Democratic Alliance, said that, "rather than capping the private industry, you should free up the health market to encourage competition and that will bring down prices."