Price of some cancer drugs significantly higher in Ireland

Global study also notes dramatic increase in the price of cancer drugs in recent years

Prices paid in Ireland for drugs aimed at treating some forms of cancer are significantly higher than in other countries, according to a new international study.

However, in other cases the costs here are much less than those paid abroad.

Research published in the Lancet Oncology on Thursday found that the price of 31 originator or new cancer drugs currently under patent varied widely – from 28 per cent to 388 per cent – between high-income countries in Europe, Australia, and New Zealand.

It said in the case of gemcitabine – used in the treatment of various cancers including breast, lung, pancreatic, and ovarian cancer – the ex-factory price per unit was €75.35 in Ireland compared with about €43 in Australia and Greece.

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However, the cost per vial for the same product in New Zealand was €209.

The study found that zoledronic acid, used for the prevention of bone complications in advanced cancer cost €273 in Ireland but €128 in Greece and €138 in Switzerland.

The price in Ireland for interferon alfa 2b, used for melanoma and leukaemia treatment, was €197 while in the UK the price was €128. The cost for the same product in Greece was €104. But in Germany the price was nearly €340.

A note in the report said that gemcitabine and zoledronic acid had generic versions in several countries, and originator prices were reduced in some countries following patent expiry, and not in others.

Overall the study found that the UK and Mediterranean countries such as Greece, Spain, and Portugal paid the lowest average unit manufacturer prices for the group of 31 originator cancer drugs whereas Sweden, Switzerland, and Germany faced the highest costs.

‘Public payers’

Lead author Dr Sabine Vogler from the World Health Organisation Collaborating Centre for Pharmaceutical Pricing and Reimbursement Policies in Vienna, Austria said: "Public payers in Germany are paying 223 per cent more in terms of official prices for interferon alfa 2b for melanoma and leukaemia treatment than those in Greece.

“For gefitinib to treat non-small-lung cancer, the price in Germany – €92.50 – is 172 per cent higher than in New Zealand, €33.97.”

The cost for this product in Ireland is €70.20, according to the study.

The Lancet oncology report said that cancer drug prices had been skyrocketing in recent years and placed huge funding dilemmas on healthcare systems.

"In the European Union, healthcare expenditure on cancer was around €51 billion in 2009, with cancer drugs accounting for almost a third of this expenditure ."

The authors of the report said that information on real drug prices was scarce.

“Some high-income countries have managed to barter the manufacturers down to lower prices but these agreements, including the agreed prices, are confidential. Although these agreements ensure patient access to new drugs, other countries risk overpaying when setting drug prices through the common practice of external price referencing, or international price comparison, because they can only use the official undiscounted prices as a benchmark. There needs to be far more transparency.”

Talks between the Department of Health and the Department of Public Expenditure and Reform and the pharmaceutical industry on a new deal on pricing for drugs and medicines in Ireland is expected to get under way early in 2016.

Martin Wall

Martin Wall

Martin Wall is the former Washington Correspondent of The Irish Times. He was previously industry correspondent