In pharma try not to scare the horses!

Mar 13, 2024 | General, Generics, WaveData News

Charles Joynson, WaveData MD, continues to research ADHD drug pricing trends and activity.
For much of its history, Dexamfetamine Tabs 5mg 28 maintained a price sufficient for manufacturers to be sustainable and for pharmacies to be profitable.

However, between May and November 2021 the average price dropped below £14.00, which may well have been the trigger that led to the current shortage.

After December 2021, the average price rose gradually to a peak of £27.87 in July 2023. At that point, the price started to fall again and concessions were granted. The price reached £21.04 in December 2023, but at the same time the drug tariff was taken right down to £14.80, and it may have been this scared the market and led to a further massive price increase in February this year to £61.62 on average.

It’s possible that if the drug tariff had been brought down gradually to parallel the decline in the average market price, the subsequent price hike wouldn’t have happened.

As it was generic, Product and Portfolio Managers probably noticed the dramatic drop in the drug tariff and may well have said to themselves, ‘The concession will disappear soon, and we’ll be back to a loss making £13 again. Is there any further point in asking our contract manufacturers to make more stock?’

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