Pharmacy Daily | Encouraging generic drugs

THE Government must introduce policy which encourages Australians to make more use of generic medicines over their brand name competitors, according to the Generic Medicines Industry Association (GMiA). “Under the pricing rules of the Pharmaceutical Benefits Scheme, specifically expanded and accelerated price disclosure (EAPD), each time a generic medicine is dispensed instead of the original brand of the medicine, the government and taxpayers bank savings,” GMiA said. “While the original brand remains in the market there will be less discounting and government savings under EAPD will be delayed. “Removing the original brand from the market makes good economic sense and will accelerate savings to the PBS,” GMiA added. According to GMiA, policy recommendations to oust originator brands are not “uncompetitive” as the “the originator sponsor is free to operate in the generic medicines market on a level playing field”. In addition, GMiA also argued that encouraging generics does not constrain doctor freedom, as it “is completely feasible to include provisions to ensure that patients continue to receive the appropriate medicine for their individual needs”.

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