"Clearly inflated prices" Price watchdog sharply criticizes generics manufacturers

The fact that Switzerland pays far too much for medicines is nothing new. However, the fact that generics are also much more expensive here than in 15 comparable countries has prompted the price watchdog to take action.

When comparing 20 patent-expired and top-selling active ingredients abroad, the price watchdog found that Swiss prices were significantly too high. The cheapest generics were more than twice as expensive as in the 15 countries compared.

The original medicines with expired patents cost on average only 62 percent of the Swiss price in the comparison countries, as price watchdog Stefan Meierhaus announced in his newsletter today.

The cheapest generic drug was available abroad for 39 percent of the Swiss price, i.e. 61 percent cheaper. Even in the most expensive comparison country, Spain, the cheapest generic drug cost 27 percent less. In the United Kingdom, the average price was only 16% of the Swiss price.

"Clearly inflated prices"

Meierhans concludes from this year's price comparison and "the significantly inflated prices" that there is still considerable potential for savings in the healthcare sector. The results are similar to those of his price comparisons in previous years and most recently in 2021.

At the same time, it is clear that the measures taken so far are not sufficient. He is therefore calling for a new pricing mechanism based on an international price comparison specifically for generics and biosimilars.

In addition, there should be a mandatory generics levy, the promotion of generics by removing approval hurdles and the prescription of active ingredients. Meierhans would also like to abolish the territorial principle. This would mean that basic insurance would pay for medicines obtained on prescription abroad if they are cheaper there.

SDA