[e-drug] Pharm Ind in Sweden lobbies against PI

[Staffan Svensson <staffan.svensson@pharm.gu.se>]

E-drug: Pharm Ind in Sweden lobbies against PI
------------------------------------------------------------


The Swedish pharma industry lobbies against parallel importation (PI) in 
a supplement to the Jan 17th issue of Dagens Nyheter, Sweden's 
main morning paper.  The 12-page supplement has an editorial and 
two articles wherein the following statements are made:

a) Government focus on drugs costs is bad for research as well as 
for public health in the long term.
b) Interfering with physicians' prescribing is a sign of
underestimating their competence.
c) Parallel importation is dangerous to patients, as (old) people may 
not dare take drugs they don't recognize, and as 'foreign' drugs may 
contain allergenic substances (examples given) that are not in the 
'native' ones.
d) Parallel importation makes drug supply erratic as stocks are 
handled badly by the importing firms.
e) Patients suffer as 'convenience' packs and special containers (for 
people with diseased joints) are not available from importers. 
f) Patients suffer economically as they will have to pay the full price 
of drugs that are not on the 'cheap list'.

Of special interest is this explanation (my translation, comments in 
brackets):

This is parallel importation:

1) 'Drugs Inc' develops the new drug 'X', a process which takes 
approximately 10 years and costs some 4 billion kronor
[divide by 10 for dollar].  It is sold in several countries, among these in

Sweden.  Pills and containers look different in different countries, 
according to local habits.

2) The National Social Insurance Board has to approve of the price
of the drug in Sweden.  It is 100 kronor. In 'Realand' [Rea means 
sale or bargain] the price is 80 kronor.

3) An import company in Sweden buys the drug 'X' in Realand at a 
price of 80 kronor and sells it in Sweden for 90 kronor.  This 
company thus sells the drug in parallel with 'Drugs Inc' but 10 kronor 
cheaper.

4) Pharmacies and County Councils buy from the import company. 
This company makes a gain from drug 'X', which has been 
developed by 'Drugs Inc'.

5) Unless the doctor specifies the company's name on the
prescription, the pharmacy can hand out the parallel import drug 
bearing the same name to the patient.

This drive from the Swedish industry has to be seen in the light of 
recent proposals for generic substitution and the establishment of a 
government body similar to NICE here.  I'd like to see the e-drug 
community's comments to this, and it would also be helpful to have 
some references to disprove of those statements. 

Staffan Svensson
Dept of Clinical Pharmacology
Sahlgren's Univ Hospital
Gothenburg, Sweden

[The recent ruling of the European Court of Justice in the case of Levi
Strauss
not to allow Tesco (a supermarket chain) to sell parallel imported jeans is
having a wider effect in other areas of parallel importing.  
Does it also signal an end to parallel importation of drugs in the EU? -
TD]


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