Another unavoidable price hike hitting households in South Africa
The Department of Health has gazetted a second price increase for all medicines sold to private-sector groups in South Africa, with the Single-Exit Price (SEP) increasing by 2.88%.
The SEP is the maximum price a manufacturer or importer may charge private-sector groups, such as hospitals and pharmacies, for medications.
The acting Minister of Health, Stella Ndabeni-Abrahams, gazetted the price hike effective from 1 October 2026.
The Acting Minister said the change would apply to all medicines registered and listed in South Africa on 30 September 2026.
“This extraordinary SEP adjustment shall be applicable to the SEPs of all medicines that are registered and listed in the database of medicines valid on 30 September 2026,” she said.
“The resultant SEP shall come into effect on 01 October 2026.”
The increased prices for private sector health groups will have a knock-on effect on consumers, who will pay higher out-of-pocket costs for medication.
The SEP was previously increased in 2026 by 1.47%, with the second increase coming amid higher global transportation costs.
Higher global oil prices have strained logistics, raising import costs for international groups selling medication in South Africa.
As part of the gazetted SEP update, the Department of Health said there would be no processing of SEP update submissions from the second half of September.
“In preparation for the database of 30 September 2026, there will be no processing of SEPU submissions between 15 September 2026 and 30 September 2026,” the department said.
“All new SEP update submissions submitted after 01 October 2026 must reflect the updated base SEP of the database of 01 October 2026.”
The Gazette also reset all applications relating to a specific section of the Medicines and Related Substances Act, according to the department.
“This Notice resets all applications submitted made in terms of regulation 9 of the Regulations Relating to a Transparent Pricing System for Medicines and Scheduled Substances Regulations to Section 22 G of the Medicines and Related Substances Act 101 of 1965,” the department said.
“Such applications, particularly those submitted in 2026 and for which no resolution will have been made at the time of publication of this Notice shall be deemed withdrawn.”
The price increase was gazetted by Ndabeni-Abrahams while she served as acting Health Minister between 24 August and 30 September 2026.
She was appointed to the acting position by President Cyril Ramaphosa while Minister of Health Aaron Motsoaledi was on sick leave.
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