New Zealand's Pharmac agency buys prescription pharmaceuticals on behalf of the government for subsidised sale through pharmacies. It is detested by the pharmaceutical companies (and the US government) because of its hard nosed and efficient tactics which force down their prices. The following quote from Pharmac's chief executive is revealing as to the effect patents have on prices:
"Typically savings in the region of 80 per cent to 90 per cent are achievable when drugs come off patent, but lesser reductions are achieved in subsequent tender rounds." - Christchurch Press, 13 November 2002, p.A9 Bill The content of this message is provided in my private capacity and does not purport to represent the University of Canterbury.
