PHP12 - How Does Pricing and Access of Innovative Oncology Agents in China Compare with Other Asian Markets?

Abstract

According to the National Central Cancer Registry of China, there are >4 million new cancer cases and nearly 3 million cancer deaths in China in 2015. Although the Chinese government has initiated a number of reforms in recent years to improve coverage of patients with severe diseases, oncology drug access remains a significant issue with many innovative drugs not being included on either the national or provincial lists for reimbursement. Consequently, manufacturers often set the price of oncology drugs free of government mandates which usually apply to reimbursed products. In contrast, in markets where governments fund cancer treatment (South Korea, Japan, Taiwan), all medicines are assessed and undergo price setting/negotiation. This research explores the price differences for oncology agents across different types of markets with consideration for funding and level of patient access. Conducted extensive secondary research to review the prices of recently launched (<5 years) oncology agents and the level of patient access across selected Asian markets (China, Japan, South Korea and Taiwan. We compared the uptake of drugs and attempted to identify drivers for access and funding. The price differential across Asian markets is correlated with lack of reimbursement, i.e., higher prices in countries where there is no likelihood of reimbursement. In contrast, in countries where these drugs are reimbursed, prices are tightly controlled and subject to regular price cuts. Affordability remains the major challenge for access to cancer drugs. Currently, innovative cancer drugs are outside the reach of most Chinese due to slow regulatory approval and limited public reimbursement. As the government aims to reimburse more oncology therapies, new mechanisms for evaluation and funding will be needed. Asian markets with ability to secure patient access to medicines at regulated prices can be useful models for China as the government looks to improve the system.