US Rx Drug Prices Up 2.3% In 2nd-Qtr 1997

US prescription drug prices increased 2.3% in 1997's second quarterover second-quarter 1996, the same rise as that reported for prescription drugs in first-quarter 1997, according to IMS America's Quarterly Pricing Report.

The growth rate continues to be in line with the US government's price indexes. As measured by the Bureau of Labor Statistics, the Consumer Price Index for all items for June 1997 was also 2.3%, while the industry-weighted Producer Price Index was 2.7%.

The 2.3% second-quarter rise reflects a slight reduction in the 1997 inflation rate for branded drug products and a slower deflation rate for generics, according to IMS. Overall prices of branded products were up 3.4% during the period, while brand prices rose 3.8%. Prices of generics in the overall market fell 8.8% compared to those in second-quarter 1996, representing the lowest and first single-digit quarterly rate decrease in prices for generics in almost two years.