Pfizer disclosed that it would increase the price of 41 drugs; 37 drugs will see price increases of 5%, 1 drug by 9%, and 3 drugs by 3% on January 15, 2019. The announcement was met with pushback from politicians who have been vocal about drug pricing concerns.
In early November 2018, outgoing Pfizer CEO Ian Read announced that the company will be returning to “business as normal” in regard to its drug pricing in January 2019, after agreeing to hold off on price hikes due to pressure from the Trump administration earlier this year.
Within the announcement, Pfizer disclosed that it would increase the price of 41 drugs; 37 drugs will see price increases of 5%, 1 drug by 9%, and 3 drugs by 3% on January 15, 2019.
The announcement was met with pushback from politicians who have been vocal about drug pricing concerns. Earlier this week, Senator Tammy Baldwin, D-Wisconsin, sent a letter to Read, expressing concern over the pricing announcement and the implications it could have for patients and families.
“I am disappointed that your company has decided to continue playing political games and to raise prices once again in January instead of making a commitment to permanently reduce prescription drug prices for millions of families struggling to afford needed medications,” wrote Baldwin. Pfizer has yet to make a formal response.
This marks the second letter Baldwin has sent to Read in a matter of months. In the first letter, sent in July 2018 after Pfizer announced it would halt on raising prices, Baldwin implored the company to stop “playing games with the costs of prescription drugs that millions of Americans depend on,” and make the price reductions permanent.
In Baldwin’s most recent letter, she requests clarifications around the upcoming price hikes, such as, “What are the current list prices for each drug and what will the list prices be when price increases take effect in January?”; “Were these drugs subject to the price increase deferral that your company announced in July?”; and “For each product subject to price increases this year, please include information on: any changes in the cost of raw materials used in manufacturing; marketing and advertising expenditures; total expenditures on research and development,” among others.
“Leading drug companies’ continued inaction to address rising prices in a serious way is exactly why we need transparency and accountability,” wrote Baldwin. She cited transparency and accountability as “critical first steps” in tackling the high cost of drugs and was open to working together in order to solve the problem.
Budget Impact Analysis of Biosimilar Natalizumab in the US
Projected savings from biosimilar natalizumab were $452,611 over 3 years, driven by decreased drug acquisition costs and a utilization shift from reference to biosimilar natalizumab.
Biosimilars in America: Overcoming Barriers and Maximizing Impact
July 21st 2024Join us as we explore the complexities of the US biosimilars market, discussing legislative influences, payer and provider adoption factors, and strategies to overcome industry challenges with expert insights from Kyle Noonan, PharmD, MS, value & access strategy manager at Cencora.
Biosimilars Policy Roundup for April 2024—Podcast Edition
May 5th 2024On this episode of Not So Different, The Center for Biosimilars® glances back at all the major biosimilar policy updates from April, including 2 FDA approvals, 1 European approval, and several insights into possible policy changes from the Festival of Biologics USA conference.
Hesitancy in MENA Nations to Adopt WHO Biosimilar Guidelines Hinders Market Development
July 17th 2024The World Health Organization’s (WHO) new guidelines for biosimilar approvals aim to save time and money for manufacturers in the Middle East and North Africa (MENA), but hesitancy among nations to adopt the guidelines is stifling market development of biosimilars.
BioRationality: Time to Get Rid of PBMs if Biosimilars Are to Succeed
July 15th 2024Sarfaraz K. Niazi, PhD, discusses the challenges with pharmacy benefit managers (PBMs) that plague the biosimilar industry and new legislation that attempts to reform their practices and encourage biosimilar adoption.