Control The European Prescription Drugs Price
Prescription drugs are a vital part of healthcare in the EU. Millions of people rely on these prescriptions every day to deal with chronic illness and life-altering conditions. The use of prescribed medication is also on the rise with an ageing population, greater accessibility, and more options.
New drug laws are continually being creating to deal with issues of administration, abuse, and regulation. These rules also apply when creating price controls on prescription medication. Time is when these price controls seemed that the most economically beneficial thing to do. There are now concerns that it can be damaging.
There Are Some In The EU That See The Benefits Of Imposing Price Controls On Prescription Drugs
The main aim with price controls is to reduce health care costs more broadly to save the industry money. There is also the aim to ensure that patients can access drugs more easily.
It is all part of that universal healthcare ethos that sets the EU apart from the US. As new drugs produce and make available, countries want to ensure that their citizens can access them. This is not possible if they pay over the odds for exclusivity.
The Problem Is That Some Also See The Dangers In These Price Controls.
The first issue here is price arbitration. Different EU countries will have different prescription drugs available at different prices. EU trade laws mean that there is nothing to stop intermediaries getting involved and making their deals across borders.
At its worst, these deals can take place illegally between the US and EU. This is where sellers can get the best prices. This is problematic for the EU countries involved as it takes much-needed medication out of the country. The more complex issue is that it is also very hard to control with few adequate drug laws.
Then there is the problem of that negotiation with regulators. All prices are negotiated by the regulator of the individual country, which can take some time. This delay can stall the entry of new, desirable prescription drugs into a nation willing to pay for it.
In can take over a year to get from the drug launch to market availability in the EU. This time, the frame is considerably shorter in the US. This wait is often the result of poor negotiations on price.
The drug companies want to get their money’s worth and recoup the cost. The buyers only want a good product at a fair price.
This is where the biggest problem lies. There is a contradiction between the aims of these price controls and the reality of the actions. There is that strong desire to make the best healthcare affordable to the masses.
However, these lengthy delays reduce the availability of these brilliant new drugs altogether. Regulators could be giving patients the best possible option via free, national health care.
Instead, this route is forcing these patients to turn to other sources for the urgent care that they need. This could lead them down a dangerous path of un-payable health care costs, poor treatment options, and prolonged conditions.
Eventually, This Complex Game Could See The EU Lose Out In Other Ways.
Then there is the chance that these pharmaceutical companies may not choose to bargain with EU negotiators at all. The speed of the US process and the money that is usually spent means that these companies can reap the benefits.
Many are in these talks for financial gain to make a profit on their effects and send a new product to the mass market. This is so much easier in the US with their drug laws.
Once these companies shift their focus over the US, it starts a big chain reaction in Europe with some damaging implications. Pharmaceutical companies learn that the best relationships are established in America.
This could mean that all their efforts and negotiations take place there to make things easier. The knock-on effect here would be the removal of facilities and a shift in production and research to US-led divisions.
This makes sense for the drug companies, but there are additional financial implications for the EU. The loss of these companies and their investment could mean a loss of tax revenue.
The Pros And Cons Of Price Controls On Prescription Drugs.
The idea of saving money in the long-term and providing accessible healthcare is great. If the guarantee of price controls that can view as beneficial. The problem is that there are too many reasons for pharmaceutical companies to make deals away from the EU. These drug laws and lengthy processes do not help matters.