Mr McLauchlan has served two previous terms as chairman and he told the Otago Daily Times yesterday he was pleased to be appointed for another three-year term.
The Pharmac model had been successful for New Zealand and during the past two years the agency had taken on broad industry concerns and tightened up some of its procedures.
''Pharmac is a much friendlier agency with which to do business. We are focused completely on outcomes.''
Under the Pharmac model, costs of funding medicines and vaccines had been kept to $800 million.
Under the Australian model, that would have risen to $1.5 billion and under the United States model, costs would be about $2 billion.
During the Trans Pacific Partnership negotiations, concerns were raised about rising costs for Pharmac but Mr McLauchlan there would be no direct impact for those needing medicines.
Prime Minister John Key had said during the negotiations if there was an increase in costs for Pharmac, it would be funded.
''There is no need for concern,'' Mr McLauchlan said.
