EU medicine shortages developments
In recent weeks, Euractiv has reported that the Swedish Medical Products Agency is seeking the creation of a state-run pharmaceutical production company in order to combat critical medicine shortages. The agency says that mandatory stockpiling is necessary and would create a buffer against lack of supply.
The agency is seeking a government mandate to order the production of critical drugs in short supply through public-private partnerships, a proposal broadly supported by the pharma sector.
Additionally, analysis in the Netherlands reports that the price of generic medicines should be increased to combat the problem of medicine shortages. The ABN AMRO healthcare report says
“the large shortage of generic medicines is mainly caused by the fact that neighbouring countries pay 25% more for medicines”.
Antibiotics and supply pressures: our analysis
Antibiotic shortages have been the most challenging among all medicine classes over the past four years, leading to frustration and extra workload for pharmacists and prescribers. Our review of the Irish market highlights these vulnerabilities.
- Top Eight Antibiotics: 11 out of 32 strengths are out of stock, and 24 presentations have only one supplier.
- Volume: These eight antibiotics have a total annual volume of over4.5 million prescriptions annually.
- Suspensions and Syrups: These have been hardest hit, with all bar 2 presentations have only one supplier – this means that over 400,000 prescriptions annually are dependent on one source.
- Erosion of Competition: Four key oral antibiotics — Penicillin, Erythromycin, Cefaclor, and Cefalexin — now have only one licensed supplier each.
Causes of Supply Pressures
- Low Reimbursement Prices: Prices for suspensions and solutions, averaging €2-€3 per course, are unsustainable in small markets like Ireland.
- Limited market volume, high manufacturing and regulatory costs: Are making antibiotic production less profitable, exacerbating shortages.
Actions needed:
- Short-term: The Department of Health must engage with manufacturers and review reimbursement prices to maintain supply.
- Long-term: Consider initiatives like Sweden’s (see above) to stabilise antibiotic production, especially given Ireland’s existing manufacturing capacity of antibiotic liquids.
Addressing these challenges is critical to easing supply pressures and ensuring continued access to essential antibiotics.