THE HIGH COST OF TREATING CANCER- DO MANUFACTURER PRICING POLICIES TAKE AFFORDABILITY INTO ACCOUNT?
Author(s)
Akpinar P, Saraf SPriceSpective Ltd., London, United Kingdom
Presentation Documents
OBJECTIVES: In 2008, GLOBOCAN estimated ~2.8 million new cases of cancer in China, making up ~22% of all global cases. Although the Chinese government has initiated a number of reforms to improve patient care, oncology drug access remains a significant issue with medicines not being on national lists of essential or reimbursed drugs. In China, manufacturers often set the price of oncology drugs free of government mandates as these are not reimbursed. In contrast, in markets where governments fund cancer treatment (South Korea, Japan, Taiwan), all medicines are assessed and undergo price setting/negotiation. Given these dynamics and discussion by pharma companies to price medicines more in line with affordability, this research explores the price differences for oncology agents across different types of markets taking into account the purchasing power parity and level of patient access. METHODS: Review current prices of selected oncology agents and the level of patient access across the Asian markets. Compare uptake of drugs and identify drivers for access and uptake. Analyze prices relative to purchasing power parity and compare to US & EU. RESULTS: The price differential across Asian markets is correlated with lack of reimbursement, i.e., higher prices in countries where there is no likelihood of reimbursement. In contrast, in countries where these drugs are reimbursed, prices are tightly controlled and subject to regular price cuts. Affordability remains the major challenge for access to cancer drugs. CONCLUSIONS: Currently, innovative cancer drugs are outside the reach of most Chinese as drug prices are some of the highest in the world. As the government aims to reimburse more oncology therapies, it will need to agree with manufacturers on price levels. Asian markets with ability to secure patient access to medicines at regulated prices can be useful models for China as the government looks to improve the system.
Conference/Value in Health Info
2012-09, ISPOR Asia Pacific 2012, Taipei, Taiwan
Value in Health, Vol. 15, No. 7 (November 2012)
Code
PHP43
Topic
Health Policy & Regulatory
Topic Subcategory
Health Disparities & Equity
Disease
Oncology