French Drug Sector Awaits Govt Deal

10 February 1997

The framework agreement between the French government and thepharmaceutical industry over the regulation of the growth of reimbursable drug sales expired on January 1, and its renewal is being suspended while talks take place between the government, the medical organizations and the health funds over the level of permissible health spending growth in 1997.

The drug industry association, the SNIP, has made the conclusion of an agreement with the medical profession over health spending growth a prerequisite for a new industry/government accord for the period 1997-2000, and SNIP president Bernard Mesure has said it is hoped that all these issues will be resolved before the end of first-quarter 1997.

The drug industry and the economic committee on drugs, the CEM, have already worked out the main outlines of the new deal, but this was signed for the CEM by Jean Marmot, who left the agency at the end of last year for another government post. One French drug company president has noted that the CEM remains without a president and that the outline deal is stuck in a filing cabinet, all of which leads him to doubt whether the government intends to pursue the traditional policy of framework agreements within the industry.

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