German Drug Price Rises Unlikely In 1995, Says BPI

Price rises across a broad front in the German pharmaceutical market in 1995 are unlikely, according to Hans-Rudiger Vogel, executive director of the drug industry association, the BPI. During a visit to Jenapharm GmbH in Weimar, he said there would be no large increases because the market cannot take them on board and they are politically unacceptable at present.

Mr Vogel said the basis on which prices were assumed to be about to rise was the expiry of the current drug price moratorium at the end of this year. At the start of 1993, the prices of prescription drug products not included in the fixed-level prices support regime were reduced by 5% and those of nonprescription products by 2%.

He noted some remarkable industry trends since the launch of Germany's health reform, with the Japanese expanding drug licensing agreements and the BASF drug manufacturing subsidiary, Knoll AG, now setting great store by its generics business. "For a research-based company, that is astounding," Mr Vogel said.