FIRMS SIGN FRENCH PRICING DEAL

Sanofi, Schering-Plough, Ciba-Geigy and Lacteol will be among the first companies in the French drug market to sign an accord with the government affecting the setting of drug prices.

Jean Marmot, chairman of the Drug Economics Committee (CEM) says that 35 agreements with pharmaceutical companies have now been signed with the aim of controlling health care costs. A further 12 are being examined and the first signatures are expected before the end of July.

The CEM has stressed it is ready to negotiate with all kinds of drug companies, and gives as examples of this spread its impending deals with Sanofi, a major French group, Lacteol, a medium-sized French company, Ciba, a Swiss multinational and a US major, Schering-Plough. The objectives of each accord are the same - to control the growth of drug reimbursement, while allowing room for manoeuver to the drug companies.