Swiss pharmaceutical market stagnates

Switzerland's pharmaceutical market has been expanding only very slowly through 2006, according to the sector organizations VIPS and Interpharma. The number of packs sold in 2006 rose 3.2% to 187.6 million Swiss francs ($150.2 million) but sales in value terms increased only 1.9%, reflecting a distinct weakening of prices.

The average ex-factory price for prescription-only drugs had fallen 3.8% by the end of last year to 38.92 francs - the first downturn in prices in 10 years. The change in trend shows that the measures adopted in 1996 to achieve economies in the drug market sector - which included price reviews, generics promotion and differentiated patient contributions - have been effective.

International comparisons also show that growth on the Swiss drug market is below average. This is paradoxically regarded with some satisfaction by the drug industry organizations because it has shown up the weakness of the argument in health policy debates about medicines in Switzerland being costly.