[Ip-health] Study: Estimated generic prices for 4 patented cancer drugs

Gloria Tavera gloria.tavera at gmail.com
Wed Jan 27 16:03:25 PST 2016

Congrats, Diz and to several other UAEMers who worked on this paper!

On Wed, Jan 27, 2016 at 12:47 PM, Dzintars Gotham <dzintarsgotham at gmail.com>

> Dear colleagues,
> A study we have conducted on estimated generic prices of four patented
> oral cancer drugs (imatinib, erlotinib, sorafenib, lapatinib) has been
> published today in BMJ Open.
> http://bmjopen.bmj.com/content/6/1/e009586.full The study also includes
> overview of global prices.
> My favourite sentence from the paper is
> "At the target prices identified, $1 billion would be enough to treat all
> 1 million patients worldwide who become eligible for treatment with
> imatinib, erlotinib, sorafenib and lapatinib, every year. This combined
> cost is less than a quarter of the net sales of $4.7 billion for imatinib
> in 2013 alone."
> I am copying the abstract here. This paper is licensed under CC BY,
> meaning you can repost/share the paper text and/or PDF wherever, providing
> you cite the authors and journal.
> Best regards
> Dzintars Gotham
> ***
> Target prices for mass production of tyrosine kinase inhibitors for global
> cancer treatment
> Authors: Andrew Hill, Dzintars Gotham, Joseph Fortunak, Jonathan Meldrum,
> Isabelle Erbacher, Manuel Martin, Haitham Shoman, Jacob Levi, William G
> Powderly, Mark Bower.
> Objective: To calculate sustainable generic prices for 4 tyrosine kinase
> inhibitors (TKIs).
> Background: TKIs have proven survival benefits in the treatment of several
> cancers, including chronic myeloid leukaemia, breast, liver, renal and lung
> cancer. However, current high prices are a barrier to treatment. Mass
> production of low-cost generic antiretrovirals has led to over 13 million
> people being on HIV/AIDS treatment worldwide. This analysis estimates
> target prices for generic TKIs, assuming similar methods of mass production.
> Methods: Four TKIs with patent expiry dates in the next 5 years were
> selected for analysis: imatinib, erlotinib, lapatinib and sorafenib.
> Chemistry, dosing, published data on per-kilogram pricing for commercial
> transactions of active pharmaceutical ingredient (API), and quotes from
> manufacturers were used to estimate costs of production. Analysis included
> costs of excipients, formulation, packaging, shipping and a 50% profit
> margin. Target prices were compared with current prices. Global numbers of
> patients eligible for treatment with each TKI were estimated.
> Results: API costs per kg were $347–$746 for imatinib, $2470 for
> erlotinib, $4671 for lapatinib, and $3000 for sorafenib. Basing on annual
> dose requirements, costs of formulation/packaging and a 50% profit margin,
> target generic prices per person-year were $128–$216 for imatinib, $240 for
> erlotinib, $1450 for sorafenib, and $4020 for lapatinib. Over 1 million
> people would be newly eligible to start treatment with these TKIs annually.
> Conclusions: Mass generic production of several TKIs could achieve
> treatment prices in the range of $128–$4020 per person-year, versus current
> US prices of $75161–$139 138. Generic TKIs could allow significant savings
> and scaling-up of treatment globally, for over 1 million eligible patients.
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Gloria Tavera
Medical Scientist Training Program (MSTP) Candidate, King Lab
Case Western Reserve University, School of Medicine
Center for Global Health & Diseases | 10900 Euclid Avenue, LC:  4983 | BRB
Cleveland, Ohio, 44106, USA
gloria.tavera at gmail.com
US: +1.407.625.2085

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