On the 20th October 2022, there was a press conference by the Ghana National Chamber of Pharmacy (GNCoP), Pharmaceutical Manufacturers Association of Ghana (PMAG) and the Pharmaceutical Importers and Wholesalers Association of Ghana (PIWA) to the effect that in order to survive in business, payment terms and business models have to change as a result of the ravaging nature of the Cedi devaluation and its direct impact on pharmaceutical operations.
They also mentioned some macro-economic indicators identified as having a devastating effect on the smooth running of pharmaceutical business in the country. These include inflation, interest rate, cumulative fuel price increase, utilities, reversal of benchmark values etc.
They took a decision and announced a NO CREDIT POLICY FOR ALL BUYERS IN THE PHARMACEUTICAL INDUSTRY including Community Pharmacies. They added that all transactions, with immediate effect, shall be on CASH BASIS until the economy stabilises.
The leadership of CPPA has taken note of this action and would like to advise all members to remain calm. This should not create any fear and panic reaction because we are engaging them to consider a more flexible payment regime for deserving members. As much as we respect their decision, we also share their pain and frustration.
Going forward, in the meantime, the following measures are advised.
That if possible, members should not overstock but rather procure what they can pay for to avoid piling up debt.
Members should try and pay up any outstanding debts or make arrangements to pay up suppliers so they can continue to supply.
According to the press statement signed by the National Chairman, Pharm. Dr. Emmanuel Kwaku Ireland, Members should negotiate effectively with the suppliers for a win-win arrangement that is mutually acceptable for both parties.
Besides the ongoing engagements, we are also Appealing to the commercial banks especially CalBank, to expedite action on the special Pharma Loan Scheme to Community Pharmacies to enhance sustainability so we can continue to provide the essential pharmaceutical services to our citizens.
We are appealing to our colleagues in the hospitals to consider stocking ONLY ESSENTIAL and EMERGENCY medicines to reduce their indebtedness in order to allow prescriptions to come to the Community Pharmacies.
We are also revamping the Community Pharmacists Network (CPN) to facilitate and initiate processes that would lead to prompt pool procurement.
Yes, we also agree that importers, wholesalers and manufacturers have been adversely affected in one way or the other, but it does not exclude retailers.
We are therefore appealing passionately to the managers of the economy to as a matter of urgency consider the recommendations enumerated by the Joint Pharma Groups and work assiduously towards reversing the already worsening economic situation in the country in order to maintain the health of our dear nation.
In conclusion, we urge all CPPA members to remain resolute and positive that we shall overcome.
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