Innovation through Generic Medicines: Is it Time for a Pan-European Policy?

Abstract

This paper aims to report on the ‘Innovation through generics’ roundtable, which was convened at the European Parliament in April 2008 to discuss the role of generic medicines in stimulating innovation in the pharmaceutical sector. The roundtable identified a number of factors that hamper generic market entry in Europe and, thus, inhibit competition and innovation in the pharmaceutical sector. These factors include the decline in true innovation in the pharmaceutical sector; shortcomings in current patent and registration systems; pricing and reimbursement delays for generic medicines; greater intellectual property protection and market exclusivity for originator medicines than in the United States; price linkage between generic and originator medicines in some member states; and a lack of demand-side measures that encourage physicians, pharmacists and patients to use generic medicines. There is a need for a pan-European policy relating to patents, registration, pricing and reimbursement, prescribing and dispensing of medicines. In particular, the creation of an internal market will benefit European healthcare by helping to drive down costs. The overall goal should be to support competition and true innovation and, thus, provide sustainable healthcare for patients throughout Europe.