Novo withdraws insulins in Greece price protest
pharmafile | May 31, 2010 | News story | Sales and Marketing |Â Â Greece, pricingÂ
Insulin manufacturer Novo Nordisk says it will withdraw its modern insulin products from Greece in protest at a 25% price cut.
The Greek government has declared major cuts to medicines prices as part of measures to control its national debt, but pharmaceutical companies are already protesting.
Novo Nordisk’s chief executive Lars Rebien Sorensen says the company is in talks with the Greek government, with the aim of finding another solution to the problem.
“What they propose right now is not acceptable,” Sorensen told Reuters.
“It will have a rub-off effect on the European price level and it has an effect on other markets outside Europe where the Greek prices are used as a reference price in negotiations with governments.”
The company will make older insulin products available to patients in Greece at the lower price, to ensure that no patient suffers from the dispute.
Fellow Danish company Leo Pharma, which specialises in dermatology and critical care has followed Novo, and says it will also withdraw some products from the country.
Greece’s hospitals have build up very substantial debts with pharmaceutical and medical devices companies over the last few years. A total of 1.2 billion euros was paid back to companies in December 2009, but a 5.6 billion euros in arrears will be paid off over the next few years through a government bond system.
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