[Ip-health] Lilly: INCREASING ACCESS TO MEDICINES OUR APPROACH
james.love at keionline.org
Fri Jun 19 10:22:08 PDT 2015
This is the Lilly web page for social media on "increasing access to
One of the points is that Lilly says it "does not does not seek patents in
least developed countries (LDCs), as defined by the United Nations. As a
result, generics manufacturers are free to produce and provide generic
versions of our medicines in these countries."
Not surprisingly, they also oppose reference pricing, as a disincentive for
tiered pricing " based on a purchaser’s ability to pay."
How well does the Lilly tiered pricing work? Who knows. But one way to
find out is to see what percent of patients who would benefit a drug get
the drug, in different countries of different incomes.
INCREASING ACCESS TO MEDICINES OUR APPROACH
Lilly strives to engage with governments throughout the world to offer our
products at sustainable prices that are affordable for local populations.
Prices for prescription medicines, like other products, can differ from
country to country because of differences in currency value and market
dynamics—or they may be kept artificially low by government price controls.
We recognize that, for individuals, the price of medicines can present a
barrier to those who might benefit from them, both in developed and
emerging markets. Pricing is one way pharmaceutical companies, including
Lilly, can enhance access to medicines.
Lilly believes differential pricing can help balance the desire to have
affordable prices for low-income populations with rewards for innovation.
We believe that providing financial incentives for pharmaceutical
innovation is in everyone’s interest. Our ability to improve outcomes for
individual patients depends on our discovering, developing, and
commercializing innovative new pharmaceutical products. The profits we
generate enable us to invest in the research necessary to bring the next
generation of new medicines to the market.
Lilly advocates for policies that support differential pricing—i.e., the
charging of different prices based on a purchaser’s ability to pay.
Currently, many countries reference the price of medicines in other
countries as a basis for setting prices for new drugs. This practice limits
differential pricing because a discounted price in a lower-income country
can be referenced by a higher-income country. Entering into commercial
contracts with payers can support the increased use of differential
pricing, if those contracts are private and the discounted price cannot be
referenced. Lilly also supports efforts to decrease the final price of
medicine to patients, such as through minimizing value-added taxes and
markups applied in the supply chain. Finally, Lilly advocates for stronger
anti-counterfeiting protections, to ensure patients receive quality-assured
Patents in Least Developed Countries
In many developing countries, Lilly does not seek nor enforce patents for
our medicines, to further contribute to making these medicines more
accessible. For example, Lilly does not seek patents in least developed
countries (LDCs), as defined by the United Nations. As a result, generics
manufacturers are free to produce and provide generic versions of our
medicines in these countries.
James Love. Knowledge Ecology International
KEI DC tel: +1.202.332.2670, US Mobile: +1.202.361.3040, Geneva Mobile:
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