DOH eyes shifting medicine budget to PhilHealth to curb expiries

The Department of Health (DOH) is considering shifting part of its budget for medicines and other commodities to PhilHealth as an additional subsidy to significantly reduce stockpiling and prevent the expiry of drugs. Acting Health Secretary Edwin Mercado confirmed that the proposal is currently under study. According to Mercado, the DOH currently procures about 40% of its commodities centrally, with the remaining 60% procured through its Centers for Health Development (CHDs). The proposed approach would allow PhilHealth to shoulder more of the purchasing and benefit-delivery function, rather than the DOH maintaining large inventories at the central level. This shift is expected to minimize wastage of medicines. The proposal emerged during the Senate Finance Committee's review of the DOH and its attached agencies’ proposed 2027 budget. Senators raised concerns regarding medicine availability, access, and the government's handling of stocks nearing expiration. Senator Raffy Tulfo, in particular, questioned the DOH's statements, presenting images allegedly showing expired medicines being "buried." He highlighted that hundreds of millions of pesos worth of medicines have reportedly gone to waste and indicated his intention to probe the DOH's procurement practices, including potential favoritism towards certain suppliers for medicines nearing expiry. Meanwhile, DOH Undersecretary Gloria Balboa stated she was unaware of any returned expired medicines. She clarified that only near-expiry stocks are covered by terms of reference requiring suppliers to replace them before they expire. However, Senator Tulfo emphasized that the recurring expiry of medicines is particularly troubling, especially amid reports of shortages in health facilities. He expressed his intent to seek a Senate Blue Ribbon Committee investigation into the matter and requested the DOH to provide historical data on expired medicine stocks from previous years. Source: GMA News Philippines