Why They Matter
The introduction of biosimilars in the EU has already led to significant savings for patients and payors. With many more such products at various stages of the development pipeline, the number of therapeutic areas catered for by biosimilars will increase steadily over the next decade.The real benefit of biosimilars is the introduction of genuine competition into an area that has historically been unhealthily short of it. Competition not only reduces prices; it also frees up public funds to broaden overall access to healthcare. In addition, it provides a further incentive for the producers of patent-protected medicines to come up with fresh ideas and genuinely original new products – driving the ‘virtuous circle’ of innovation.
One example is the UK, where many physicians reverted to using granulocyte colony stimulating factor (GCSF) medicines as first line cancer treatment following the start of biosimilar competition in 2008, due to the significant price decrease. Treating patients before rather than after they develop neutropenia (white blood cell deficiency, in response to chemotherapy) both increases quality of life and helps to generate potentially significant savings by avoiding hospital readmissions.
