The increase of price for dermatological drugs Essay

There is a very heated debate on the price increase regarding the dermatological drugs. The drugs included simple acne treating medicine to cancer treating drugs. The price of dermatological drugs has increased to about five folds during a period of 2009 till 2015.

Almost all the leading pharmaceutical companies are involved in the price increase conspiracy. As per the drugmakers, the main reason for price increase is healthrelated expenditures, inflation, taxes, investment in research programs, and development of new drugs. All companies insisted on patient assistance program to help the patients to get the drugs at a cheaper cost.

This all came under light when a tweet by Democratic presidential candidate, Hillary Clinton in September shattered the dreams of the drugmakers. She said the price increase is outrageous. After her tweet, the stock market plunges in a dip of 40%.

A committee was also formed consisting of two senators to investigate the root cause of price increase. The date of hearing will be in 2016.

Valeant Pharmaceutical Intl Inc (NYSEVRX), GlaxoSmithKline PLC (ADR) (NYSEGSK) and Novartis AG (NYSENVS) are in spotlight of rocketing the prices up to the sky of their drugs either twice or thrice.

According to Miranda Rosenberg, lead author of the study Its not just Valeant. She further added that Its a phenomenon thats going on across the pharmaceutical industry.

This research was conducted by Ms. Rosenberg who is a thirdyear medical student at the University of Pennsylvania Pearlman School of Medicine. Her father also helped her in her study, Stephen Rosenberg, who is a dermatologist by profession and is involved in private practice in West Palm Beach, Fla.

The main aim of the study is to generate a data base for the dermatologists, which includes the prices of the drugs that they normally prescribe for their patients. The study comprises comparison of different medicine prices during a time period of 2009 to 2015. Dr. Rosenberg gives an example of a patient who called him from pharmacy a pharmacy as he wants an alternative prescription for OluxE foam, a med for psoriasis and atopic dermatitis. There was a huge difference in price as it rose from $45 a year ago to $450. Same is the case with the hepatitis medicines.

One another example is of 100gram dispenser of OluxE foam, which costs $308 in 2009, listed this year for $842, a 174% increase.

Valeant is under severe criticism due to its malpractices and price increase. The drugmaker increased the retail prices of both Targretin and Carac after Valeant bought or licensed the medicines.

Similarly, the study showed that the retial prices of Glaxo drugs, Altabax were twice over a period of six years.

The antifungal Oxistat cream marketed by Novartis, skyrocketed to $545 this year from $76.50 in 2009, a seven times increase, the report states.

As per the study the price increase between a period of 2009 to 2011 is almost modest, but the price increase in 2015 is very high and is not acceptable.