Generic Drugs & Profiteering


I made penicillin in my lab. Lots of organic syntehesis. Should have made a fortune. Chemistry is not that difficult if you have the education. Immunochemistry is pretty simple also. Genomics is just a view. Then you get it. Lots of money there.

Now, anybody will make a fortune. Generics are the reason. Next, BioSimilars.

Future thinkers are going this way.

There are a huge amount of people out there working on making a fortune, but they have forgotten the patient, and science.

The Great Generic Drug Rip-Off
  (December 16, 2014)

Big Pharma has followed the only avenue left to reap billion-dollar profits:
jack up the price of generics.

What happens when rapacious cartels run out of billion-dollar-profit products?
They jack up the price of what was previously low-cost.
And why are they able
to raise prices by 388% to 8,000% at will? Because they can. That’s the whole point
in having a cartel that is enabled and enforced by the cartel’s
toadies and apologists in the central state (federal government): price increases can be
imposed on the government and the private sector at will.

I was alerted to the extraordinary price increases in widely used generic drugs by
Ishabaka (M.D.)
, who forwarded this fact sheet issued by the office of
Senator Bernie Sanders: (Chart is reproduced below)

Staggering Price Increases for Generic Drugs


“Rep. Elijah E. Cummings
and Senator Bernard Sanders sent letters to 14 drug
manufacturers requesting information about the escalating prices of generic drugs used to
treat everything from common medical conditions to life-threatening illnesses. Data was
provided by the Healthcare Supply Chain Association (HSCA) on recent purchases by group
purchasing organizations (GPOs) of ten generic drugs.”

Here are Ishabaka’s comments:


“I’d like to focus on the top one – doxycycline. This is a very effective antibiotic for
pneumonia, bronchitis, and sexually transmitted diseases (chlamydia and gonorrhea).
Throughout my medical career, it has been a cheap generic drug I used all the time.
It’s cost has gone up from $20 a prescription to over $1,600 a prescription in the last 12
months.


Low-income people
used to be able to afford doxycycline, which would stop the spread of these serious,
sometimes life-threatening infections. Now they can’t, and there is no drug as good as
doxycycline available cheaply. I think this is an outrage.
Imagine if a generic bottle of aspirin increased in price from $10 a bottle to $800 a
bottle in 12 months – Americans would be marching in protest.”

Drug Use Average Market Price Oct. 2013 Average Market Price April 2014 Average Percentage Increase
Doxycycline Hyclate
(bottle of 500, 100 mg tablets)
antibiotic used to treat a variety of infections $20 $1,849 8,281%
Albuterol Sulfate
(bottle of 100, 2 mg tablets)
used to treat asthma and other lung conditions $11 $434 4,014%
Glycopyrrolate
(box of 10 0.2 mg/mL, 20 mL vials)
used to prevent irregular heartbeats during surgery $65 $1,277 2,728%
Divalproex Sodium ER
(bottle of 80, 500 mg tablets ER 24H)
used to prevent migraines and treat certain types of seizures $31 $234 736%
Pravastatin Sodium
(bottle of 500, 10 mg tablets)
used to treat high cholesterol and to prevent heart disease $27 $196 573%
Neostigmine Methylsulfate
(box of 10 1:1000 vials)
used in anesthesia to reverse the effects of some muscle relaxants $25 $121 522%
Benazepril/
Hydrochlorothiazide
(bottle of 100, 20-25 mg tablets)
used to treat high blood pressure $34 $149 420%
Isuprel
(box of 25, 0.2 mg/mL vials)
used to treat heart attacks and irregular heartbeat $916 $4,489 390%
Nitropress
(50 mg vial)
used to treat congestive heart failure and reduce blood pressure $44 $215 388%
Digoxin
(single tablet, 250 mcg)
used to treat irregular heartbeats and heart failure $0.11 $1.10 884%

The murky world of drug pricing is attracting some much-needed attention:

Lawmakers Look for Ways to Provide Relief for Rising Cost of Generic Drugs

For 30 years, generic medications helped make health care cheaper.
Why is their cost surging?

What politicos and the mainstream media cannot dare state openly is obvious: the
system of drug development and generic drug pricing/distribution is broken in the U.S.
,
and the core cause is the cartel-like structure of Big Pharma and the rest of the healthcare
system.

Though nobody in officialdom or the mainstream media can say this publicly, the reason for
these outrageous increases is painfully obvious: As Big Pharma’s stable of billion-dollar
drugs slip off patent, their profit pipeline is weakening.

The pipeline of potentially billion-dollar-profit drugs (so-called blockbuster drugs) is thin.
So Big Pharma has followed the only avenue left to reap billion-dollar profits:
jack up the price of generics, and push the government to pay the outrageous increases
via Medicare and Medicaid and force the increases on private insurers and providers.

If we just roll over and accept 8,000% increases, we deserve the corrupt, rapacious system
we have.

The Great Generic Drug Rip-Off

Update:

I have a mother that lives on drugs, mostly generics. She has no serious clinical problems. Just that she was over prescribed. I keep questioning the quality. I am every medical profeessionals worst nightmare. I came back from Az to NJ, after a global career to be near here.

Everyone is now questioning quality – pricing will be next. The end run will be Bio-Similiars.

But,

Finally, generics get the pressure they need. There is precious few new in Big Pharma.


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John Macey

I was born, and principally educated, in the fields of biochemistry, and business management in the northeastern USA. However, my world-wide professional career has greatly expanded upon that US base to involve the many different segments of the Biotech / Life Science fields globally. – I have been dressed as a surgeon to view many, many surgical proceedures - The major players in the health care fields that I have worked for include: Johnson & Johnson, DuPont, Abbott Laboratories, and F. Hoffmann-La Roche. – Positions have included selling nuclear materials for both in-vivo & in-vitro (radio-pharmaceutical & radio-immunoassay) medical diagnostic purposes, in the four countries in Scandinavia, based south of Stockholm, to managing Ph. Ds at a global Swiss headquarters location. – At one time I held a position of Strategy Manager for Europe, Middle-East & Africa (EME&A) for a Chicago based company, but living in Germany. – I do speak fluent colloquial German. – In addition to having lived in multiple European countries, my professional career took me to Asia for well over a decade. There I had management control of Oceania, the Pacific Rim, Northern Asia, Japan, out to India. – Occasionally, management assignments have taken me to all of Latin America, and most of South America. – I am extremely culturally aware, a skilled negotiator, and a seasoned manager of men and science. – My one abiding passion has always been computing, data, and analysis. As such, my main computer operating system is Linux, and open-source computer applications. – I do also run Microsoft 7, and Mac OS X (all 3 operating systems on the same H-P Ultrabook). I hope you enjoy your time on the Blog, and should you have any comments / feedback please feel free to email me @ jjmacey@jjmacey.net, or visit my Linux Web Site @ www.jjmacey.net (always evolving) – John J. Macey – AKA Adler, which in German means Eagle – Wildwood, New Jersey - Together, we can expand your global markets - with our partnerships. The partnerships are global utlizing multiple Law, Regulatory, Seasoned Management, Employment, M&A and buidlers of Business. Contact use.