Despite the charges of price gouging the only estimate, I have seen, of the cost to produce RATs is about $2/test. Could Choice look at the manufacturing cost/wholesale price/retail price/rip off price chain?
Manufacturing cost is only one component of a supply chain cost. When other real costs are added, the cost to put on the shelf for purchase in considerably more.
The same applies to every consumer product purchased.
Even if the Government say nationalised the manufacturer and supply of Rats, the shelf price would be similar (it could be argued even more due to inherent inefficiencies of government).
Some circumstantial evidence about gouging was published by Choice.
Someone on Reddit (in https://reddit.com/r/coronavirusdownunder) was asked for $90 for one test. Now that is a gouge.
Especially when in Singapore!
Note S$1 is approx AU$1
I recognise Roche, one brand mentioned in the news article as also available in Australia.
Unity currently offers four brands of ART kits: Roche, SD Biosensor, Panbio and Quickvue. Depending on the pack size and brand, the price of one kit ranges from S$5.25 to S$8.85, said a FairPrice spokesperson.
These are single kit prices. Multipacks are typically cheaper per test. How much ‘The Australia Tax’ adds is always an unknown. There are initially additional costs to meet Aussie TGA requirements ($100,000’s), the costs are recovered across millions or tens of millions of sales. A few cents per RAT test.
The Singapore use of the Acronym ‘ART’ for Antigen Rapid Test, and passing the ART test seems so much more alluring than being a positive RAT.
The ACCC has released an updated report on the cost of RAT kits (wholesale $3.95 to $11.45) and over 1800 consumer reports of excessive pricing.
The Media is offering opinions on whether anything will happen in response to change the situation. They vary, so best to wait and see.
A bit of arm waving? It will be interesting to read about anyone being prosecuted and fined, especially for more than their profits.
RAT price gouging reports referred to AFP, consumer watchdog says →