Tuesday, December 12, 2017

Pharma's Price Hikes

US drug manufacturer has increased the price of a bottle of vitamins - a generic version of which can be bought for around $5 - by more than 800 per cent.
In the latest example of eye-dropping price-gouging in the US’s lightly regulated pharmaceutical industry, records show Avondale Pharmaceuticals, a mysterious company registered in Alabama, raised the price of Niacor from $32.46 to $295.
Niacor is a prescription version of niacin, a type of vitamin B3 that is frequently used to treat high blood cholesterol. A wide range of generic versions of the vitamin are available; Walmart sells a jar of 100 tablets for $14.99 while other brands are available online for even less.
Avondale Pharmaceuticals bought the rights to Niacor from Upsher Smith, a division of Japan’s Sawai Pharmaceutical, earlier this year. The company also bought the rights to a drug used to treat respiratory ailments, known as SSKI, and increased the price by 2,469 per cent, raising the cost of a 30ml bottle from $11.48 to $295.
 Doctors will be unaware the price of Niacor, for which 19,000 prescriptions were written last year, has so drastically increased because such announcements are not always made public or announced to the medical profession. This is the latest example of an inefficient US market where the consumer, payer and doctor don’t have all of the information available to make a financially sound choice. They are caught in a web of inefficiency and are being taken advantage of.

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