Pharmaceutical companies found to delay access to affordable generics

The National Association of Pharmaceutical Manufacturers (NAPM) welcomes the findings of the preliminary report on the sector inquiry released on Friday, 28 November 2008 in Brussels. The European Commission launched a probe in January 2008 into the pharmaceutical industry to identify inefficiencies in the market and obstacles to access to affordable generic medicines and new innovative products.

The inquiry found that originator companies use strategies to “maintain revenue streams for their medicines.” These practices delay or block the entry of generic medicines resulting in healthcare systems and consumers paying more for their medication.

The strategies observed by the European Commission included:
- Strategic patenting
- Patent litigation
- Patent settlements
- Interventions in national regulatory procedures for approval of generic medicines
- Life-cycle strategies for follow-on products

The National Association of Pharmaceutical Manufacturers said that most of these findings were relevant to South Africa. The biggest challenge facing the generic industry is the disparaging of generic medicines by originator companies and the delays in the registration approval process.

Commenting on the findings of the report Dr Skhumbuzo Ngozwana, Chairman of the NAPM said that there is still tremendous potential for even greater generic uptake in South Africa and we should now be looking for effective ways to speed up both the registration and the uptake of generic medicines. “We need to, at all times act in the best interest of patients.” he concluded.

For further information contact:

National Association of Pharmaceutical Manufacturers

Tel: (012) 323 7529

Fax: 086 529 4245

Chairman: Dr Skhumbuzo Ngozwana