The Impact of Rising Costs and Declining Antibiotic Prices on Healthcare Access in Europe

The Dilemma of Antibiotic Accessibility



As the global healthcare community marks World Antimicrobial Resistance Awareness Week, a recent analysis by Viatris and Medicines for Europe highlights critical challenges in maintaining the accessibility of essential antibiotics. In a world where one in six bacterial infections is resistant to treatment, the urgency for reform resonates louder than ever.

The study conducted by New Angle, a renowned consultancy, dives into the factors contributing to the ongoing shortage of off-patent antibiotics in Europe. Compounding the issue, the report notes that between 2020 and 2024, the average price of the top ten most sold generic antibiotics dropped by an alarming 10.4%, all while production costs soared.

Rising Production Costs


From industrial production costs increasing by 31.6% to labor costs rising by 25.7%, the financial strains are evident. Even energy prices skyrocketed, with gas costs up 88% and electricity 62%. Yet, this pricing paradox becomes even more concerning as certain essential drugs like amoxicillin saw an 18.9% price reduction, despite being among the most affected by shortages.

The distressing statistics reveal that 240 antibiotics have been withdrawn from the market, with a staggering 385 reported shortages across 16 European countries. This data emphasizes not just a shortage of supply but invokes serious questions about the sustainability of antibiotic production essential for routine medical care.

Call for Policy Reforms


To address these issues effectively, the report calls for urgent reforms in national pricing and procurement systems. Key recommendations include:

  • - Indexing Prices to Inflation and Production Costs: Implementing price structures that reflect the rising costs of production ensures manufacturers can sustainably produce these critical medications.
  • - Minimum Pricing Policies: Establishing minimum prices could prevent market distortions and guarantee the economic viability of antibiotic production.
  • - Tiered Pricing Models: Dynamic referencing of drug prices based on market competition should be a priority, allowing them to fluctuate with supply and demand.
  • - Reform Public Procurement: Introducing tenders that allow for multiple winning bids will foster reliability in supply and uphold environmental standards.

Urgency in Public Health Policy


Margarida Bajanca, lead researcher at New Angle, emphasizes the core connection between the affordability of antibiotics and public health: "Our study indicates that while prices keep falling, production costs are escalating dramatically, threatening the economic viability and availability of necessary medications. Without significant reform, patients across Europe are at risk of losing access to these vital treatments, which could adversely affect public health and accelerate antimicrobial resistance."

Artur Cwiok, president of Viatris Europe, reiterates the importance of strong, sustainable market policies that reflect the therapeutic value of generic drugs, striving to enhance patient access throughout Europe. Adrian van den Hoven, director general of Medicines for Europe, adds a critical dimension to the conversation; he remarks on the societal value attributed to antibiotics and the need for policymakers to reassess current pricing strategies, which may contribute to further market consolidation.

Conclusion


As we reflect on the findings presented during World Antimicrobial Resistance Awareness Week, it’s clear that the fight to secure access to antibiotics is more crucial than ever. Viatris and Medicines for Europe are rallying policymakers, health leaders, and industry partners to take evidence-based action to develop sustainable systems that ensure the availability of essential antibiotics. With the ever-increasing strain on healthcare due to pricing pressures and supply shortages, the call for robust reforms cannot be overstated.

For additional information and to read the comprehensive study, visit Viatris or Medicines for Europe’s websites.

Topics Health)

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