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BAH: Draft austerity law endangers Germany as a pharmaceutical location

“The draft for a GKV savings law massively endangers the supply of medicines and Germany as a pharmaceutical location,” said Dr. Hubertus Cranz, General Manager of the BAH. The planned increase in the manufacturer's discount is a catastrophe for drug manufacturers.

Cranz: “Manufacturers are already making significant savings contributions to statutory health insurance companies through discount agreements, discounts and fixed amounts. In addition, manufacturers are put under enormous strain by increased production costs, for example as a result of higher energy, logistics and active ingredient costs. The fact that the Federal Ministry of Health is now planning to almost triple the manufacturer's discount is completely unacceptable. Many medium-sized companies will not be able to cope with this.”

In addition, the draft proposes to extend the price moratorium for another four years. This means that the price level of August 1, 2009 will apply to many pharmaceuticals until 2026, although production costs have increased significantly since then, due, among other things, to increased purchase prices and energy costs. Although there has been an inflation adjustment since July 2018, this can only partially compensate for the significantly increased production costs. “The planned extension of the price moratorium exacerbates an already tense situation for manufacturers and the supply of medicines. Because if it is no longer possible for companies to produce to cover their costs, they have to remove the product from the market. Valuable treatment options are then lost for patients,” says Dr. Hubertus Cranz, General Manager of the BAH. In addition, the price moratorium prevents the further development of known substances, such as new or age-appropriate dosage forms. “The price moratorium therefore fundamentally contradicts the political desire to strengthen Germany as a business location,” said Cranz.

Regarding the planned changes to AMNOG-regulated medicines, Dr. Hubertus Cranz: “The AMNOG has proven itself over the past 10 years despite some weaknesses. If the key points come into force in this way, it would reduce Germany's attractiveness as a market for innovative medicines. It is to be feared that new therapy options will no longer be available to patients in Germany or will only be available with a delay.”

Conclusion of the BAH: The draft for a GKV financing law that has now become known means an enormous burden for drug manufacturers and for Germany as a pharmaceutical location. In doing so, he is endangering the goals agreed in the coalition agreement of providing patients with innovative medicines and strengthening Germany as a pharmaceutical location. In order to make this possible, financial, regulatory and bureaucratic relief for manufacturers would be necessary.

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