Health NZ and Pharmac - Hospital Medical Device Evaluation and Procurement Processes

New Zealand Ministers of Health have announced a new national approach to the evaluation and procurement of hospital medical devices. Health NZ and Pharmac have prepared the following update, available for distribution to USANZ Members below:

Update from Health NZ and Pharmac:

We are sharing this update to help you understand why these changes are being made and what they will mean for our future engagement with you.

Why the change is happening

The Government wants a clearer, more consistent and effective system for assessing and purchasing medical devices. Innovation in this sector is accelerating, and the current arrangements have often been complex and frustrating for suppliers and clinicians. The new approach is planned to improve transparency, streamline engagement, and support the adoption of devices that deliver equitable outcomes for patients, and better value for the health system.

What is changing

Health New Zealand | Te Whatu Ora (Health NZ), Pharmac | Te Pātaka Whaioranga (Pharmac) and the Ministry of Health | Manatū Hauora (MOH) have worked together to clarify roles and create a more coordinated model:

  • Lead agency by category: Procurement leadership has been allocated across 55 device categories.
    • Pharmac will lead for 27 categories, mainly those with direct therapeutic impact.
    • Health NZ will lead for 28 categories, typically those that have no direct therapeutic impact, or are linked to infrastructure, or capital equipment.
    • The table outlining the lead agency for each medical device category is available online.
  • Joint planning and delivery: Pharmac and Health NZ will develop joint priorities, a shared annual procurement pipeline, and an annual Medical Devices Plan. This is intended to reduce duplication, ensure consistency, and provide clearer visibility of upcoming activity.
  • Improved early engagement: The new processes will be developed to enable earlier, more structured engagement with suppliers and clinicians, particularly for devices with the potential to improve patient outcomes and system efficiency
  • Health Technology Assessments (HTAs): Pharmac will lead HTAs to support evidence-based decision-making, through the Service Level Agreement. These may be commissioned through the National Clinical Practice Committee when Health NZ internal capacity, or capability, is not available, or via Pharmac’s strategic category planning and horizon scanning.
  • Funding Medical Devices: Health NZ remains the funding authority for hospital medical devices.

What this means for you as suppliers

We are working toward a consistent interface with the health system, including:

  • clear points of contact for each device category
  • improved transparency, consistent processes, and a timely approach
  • opportunities to discuss innovations and market developments
  • reducing duplication of effort.

What we are working on now

Both agencies will maintain open communication with suppliers, clinical experts, and other stakeholders as this new model is developed.

We are working on the detail behind the category split and will keep the sector informed as this develops to provide greater clarity.

Updates will be shared as more information becomes available, including lead agency contacts and details of upcoming engagement opportunities.

Your ongoing support is appreciated. If you have immediate questions, please feel free to get in touch with your Pharmac or Health NZ contacts.

Ngā mihi

Catherine Epps and Andy Windsor


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