Ireland’s IPHA refutes “Troika” allegations on drug prices

In the latest criticism of pharma prices in Ireland, this time from the trio of international lenders, known as the "Troika" – the European Commission, the European Central Bank and the International Monetary Fund, the Irish Pharmaceutical Healthcare Association (IPHA) says that pharmaceutical companies that make and supply original branded medicines in Ireland have delivered savings of almost 70 million euros ($93.45 billion) in the first half of 2013.

Responding to reports that the Troika had singled out the cost of branded medicines, as well as generic medicines, as being too high in Ireland, IPHA commercial affairs director Orlaith Brennan said: “Generic medicines are up to 50% more expensive in Ireland than the European average. However, original branded medicines produced by IPHA companies are now at or below the European average as a direct result of a series of major price reductions agreed between the industry and the government. Proper recognition needs to be given to these savings. Meanwhile, the new system of reference pricing and generic substitution should bring down the price of generics.”

Ms Brennan pointed out that the current agreement has delivered over 68.5 million euros in savings to the state in the first six months of 2013 and has in place mechanisms to deliver 400 million euros over the course of the agreement. IPHA member company products are at or below the European average, she added.