[Ip-health] Finally: Colombia cuts price of Novartis cancer drug by 44 percent

Jamie Love james.love at keionline.org
Wed Dec 21 06:59:51 PST 2016


Despite considerable pressure from Switzerland and the United States
Congress and Obama's executive branch agencies, Colombia has finally
decreased the price of the Novartis cancer drug Gleevec.   Novartis has
already earned nearly $50 billion from this "orphan" drug.

Jamie


http://in.reuters.com/article/us-novartis-colombia-idINKBN14A1FD

HEALTH NEWS | Wed Dec 21, 2016 | 8:48am EST
Colombia cuts price of Novartis cancer drug by 44 percent

A Novartis logo is pictured on its headquarters building in Mumbai April 1,
2013.  REUTERS/Vivek
Prakash/File Photo

A Novartis logo is pictured on its headquarters building in Mumbai April 1,
2013.
REUTERS/Vivek Prakash/File Photo

Colombia's government has lowered the price of Novartis cancer drug
imatinib by nearly half in a bid to cut healthcare costs after failed price
negotiations with the Swiss company.

Novartis will be legally obliged to sell the drug, which is used to treat
leukemia and other cancers, at the new price.

The new cost per milligram is 44 percent less than the original price, the
Colombian Health Ministry said in a statement late on Tuesday.

Under the decision each 400 milligram tablet of the medication will cost
82,568 pesos ($27.6), down from 147,200 pesos ($49).

The pharmaceutical company and the Andean nation attempted to set a new
price together after Colombia, where about 2,500 patients currently use
imatinib, asked Novartis to lower the cost. Negotiations failed and the
government said its medication cost commission would set a new price.

The drug, sold under brand names Glivec or Gleevec, was not under patent in
Colombia between 2003 and 2012, sparking competition from generic producers
whose prices are 197 percent cheaper than those of Novartis, according to
the health ministry. The current patent is valid until mid-2018.

The government's decision to unilaterally set a new price stopped short of
a so-called compulsory license declaration, which would have overridden
Novartis' patent and permitted other companies to make cheaper generic
versions.

(Reporting by Julia Symmes Cobb and Luis Jaime Acosta; Editing by Bill
Trott)


-- 
James Love.  Knowledge Ecology International
http://www.keionline.org/donate.html
KEI DC tel: +1.202.332.2670, US Mobile: +1.202.361.3040, Geneva Mobile:
+41.76.413.6584, twitter.com/jamie_love



More information about the Ip-health mailing list