- Keywords > access - high cost medicines
- Keywords > allocation model - funding medicines
- Keywords > funding medicines
- Keywords > innovation - availability, affordability and cost-effectiveness
- Keywords > medicine prices
- Keywords > pharmaceutical industry - incentive for R&D
- Keywords > price - control
- Keywords > price competition
- Keywords > prices / pricing policy
(2015; 1 page)
Meeting the high and increasing price of medicines for rare disorders is an ongoing dilemma for patients, insurers and governments worldwide. In New Zealand, the difficulty has been highlighted by lobbyists campaigning for funding eculizumab for paroxysmal nocturnal haemoglobinuria and for enzyme replacement therapies including alglucosidase alfa for glycogen storage disease type II. The cost per patient per year for these treatments can be more than 500 000 New Zealand dollars (NZ$).
The pharmaceutical industry has long argued that its pricing of such products is justified by high development costs and the comparatively small patient population from which they can recover these costs. The validity of this argument has been recently questioned, as the cost of development is often shared or subject to tax incentives.