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Generic drug

A generic drug (or simply generic) is a pharmaceutical drug that contains the same chemical substance as a drug that was originally protected by chemical patents. Generic drugs are allowed for sale after the patents on the original drugs expire. Because the active chemical substance is the same, the medical profile of generics is equivalent in performance compared to their performance at the time when they were patented drugs.[1][2] A generic drug has the same active pharmaceutical ingredient (API) as the original, but it may differ in some characteristics such as the manufacturing process, formulation, excipients, color, taste, and packaging.[2]

In some countries, such as Brazil (photo) and France, more than 20% of all drug sales in units are generic.

Although they may not be associated with a particular company, generic drugs are usually subject to government regulations in the countries in which they are dispensed. They are labeled with the name of the manufacturer and a generic non-proprietary name such as the United States Adopted Name (USAN) or International Nonproprietary Name (INN) of the drug. A generic drug must contain the same active ingredients as the original brand-name formulation. The U.S. Food and Drug Administration (FDA) requires generics to be identical to or within an acceptable bioequivalent range of their brand-name counterparts, with respect to pharmacokinetic and pharmacodynamic properties.[3] (The FDA's use of the word "identical" is a legal interpretation, not literal.)[citation needed]

Biopharmaceuticals, such as monoclonal antibodies, differ biologically from small-molecule drugs. Biosimilars have active pharmaceutical ingredients that are almost identical to the original product and are typically regulated under an extended set of rules, but they are not the same as generic drugs as the active ingredients are not the same as those of their reference products.[4]

In most cases, generic products become available after the patent protections afforded to the drug's original developer expire. Once generic drugs enter the market, competition often leads to substantially lower prices for both the original brand-name product and its generic equivalents. In most countries, patents give 20 years of protection. However, many countries and regions, such as the European Union and the United States,[5] may grant up to five years of additional protection ("patent term restoration") if manufacturers meet specific goals, such as conducting clinical trials for pediatric patients.[6]

Manufacturers, wholesalers, insurers, and drugstores can all increase prices at various stages of production and distribution.[7]

In 2014, according to an analysis by the Generic Pharmaceutical Association, generic drugs accounted for 88 percent of the 4.3 billion prescriptions filled in the United States.[8]: 2 

"Branded generics" on the other hand are defined by the FDA and National Health Service as "products that are (a) either novel dosage forms of off-patent products produced by a manufacturer that is not the originator of the molecule, or (b) a molecule copy of an off-patent product with a trade name."[9] Since the company making branded generics can spend little on research and development, it is able to spend on marketing alone, thus earning higher profits and driving costs down.[10] For example, the largest revenues of Ranbaxy, now owned by Sun Pharma, came from branded generics.[11][12]

Nomenclature edit

Generic drug names are constructed using standardized affixes that distinguish drugs between and within classes and suggest their action.[citation needed]

Economics edit

When a pharmaceutical company first markets a drug, it is usually under a patent that, until it expires, the company can use to exclude competitors by suing them for patent infringement.[13] Pharmaceutical companies that develop new drugs generally only invest in drug candidates with strong patent protection as a strategy to recoup their costs of drug development (including the costs of the drug candidates that fail) and to make a profit.[14] The average cost to a brand-name company of discovering, testing, and obtaining regulatory approval for a new drug, with a new chemical entity, was estimated to be as much as US$800 million in 2003[15] and US$2.6 billion in 2014.[16] Drug companies that bring new products have several product line extension strategies they use to extend their exclusivity, some of which are seen as gaming the system and labeled "evergreening" by critics, but at some point there is no patent protection available.[13] For as long as a drug patent lasts, a brand-name company enjoys a period of market exclusivity, or monopoly, in which the company is able to set the price of the drug at a level that maximizes profit. This profit often greatly exceeds the development and production costs of the drug, allowing the company to offset the cost of research and development of other drugs that are not profitable or do not pass clinical trials.[7] The impact of loss of patent exclusivity on pharmaceutical products varies significantly across different product classes (e.g., biologics vs. small molecules), largely due to regulatory, legal and manufacturing hurdles associated with such products. Indeed, the greater degree of 'brand-brand' competitive dynamics seen in the biologics and complex generics space allows manufacturers of originators to better protect market share following loss of patent exclusivity.[17]

Large pharmaceutical companies often spend millions protecting their patents from generic competition.[7] Apart from litigation, they may reformulate a drug or license a subsidiary (or another company) to sell generics under the original patent. Generics sold under license from the patent holder are known as authorized generics.[18]

Generic drugs are usually sold for significantly lower prices than their branded equivalents and at lower profit margins.[19] One reason for this is that competition increases among producers when a drug is no longer protected by patents.[19] Generic companies incur fewer costs in creating generic drugs—only the cost of manufacturing, without the costs of drug discovery and drug development—and are therefore able to maintain profitability at a lower price.[19][20][21] The prices are often low enough for users in less-prosperous countries to afford them. For example, Thailand has imported millions of doses of a generic version of the blood-thinning drug Plavix (used to help prevent heart attacks) from India, the leading manufacturer of generic drugs, at a cost of US$0.03 per dose.[22]

Generic drug companies may also receive the benefit of the previous marketing efforts of the brand-name company, including advertising, presentations by drug representatives, and distribution of free samples. Many drugs introduced by generic manufacturers have already been on the market for a decade or more and may already be well known to patients and providers, although often under their branded name.[citation needed]

India is a leading country in the world's generic drugs market, exporting US$20.0 billion worth of drugs in the 2019–20 (April–March) year.[23] India exports generic drugs to the United States and the European Union.[24] also the according to market research community the Global Generic Drugs Market was evaluated US$465.96 million in 2021 and is expected to rise with a CAGR of 5.5% from 2022- 2028 during the forecast period.[25]

In the United Kingdom, generic drug pricing is controlled by the government's reimbursement rate. The price paid by pharmacists and doctors is determined mainly by the number of license holders, the sales value of the original brand, and the ease of manufacture. A typical price decay graph will show a "scalloped" curve,[26] which usually starts at the brand-name price on the day of generic launch and then falls as competition intensifies. After some years, the graph typically flattens out at approximately 20% of the original brand price. In about 20% of cases, the price "bounces": Some license holders withdraw from the market when the selling price dips below their cost of goods, and the price then rises for a while until the license holders re-enter the market with new stock.[27][28] The NHS spent about £4.3 billion on generic medicines in 2016–17.[29]

In 2012, 84 percent of prescriptions in the US were filled with generic drugs,[30] and in 2014, the use of generic drugs in the United States led to US$254 billion in health care savings.[8]: 2 

In the mid-2010s the generics industry began transitioning to the end of an era of giant patent cliffs in the pharmaceutical industry; patented drugs with sales of around US$28 billion were set to come off patent in 2018, but in 2019 only about US$10 billion in revenue was set to open for competition, and less the next year. Companies in the industry have responded with consolidation or turning to try to generate new drugs.[31]

Most developed nations require generic drug manufacturers to prove that their formulations are bioequivalent to their brand-name counterparts.[32][33][34][35][36][37]

Bioequivalence does not mean generic drugs must be exactly the same as the brand-name product ("pharmaceutical equivalent"). Chemical differences may exist; a different salt or ester may be used, for instance. Different inactive ingredients means that the generic may look different from the originator brand.[38] However, the therapeutic effect of the drug must be the same ("pharmaceutical alternative").[citation needed] Most small molecule drugs are accepted as bioequivalent if their pharmacokinetic parameters of area under the curve (AUC) and maximum concentration (Cmax) are within a 90% confidence interval of 80–125%; most approved generics in the US are well within this limit.[39] For more complex products—such as inhalers, patch delivery systems, liposomal preparations, or biosimilar drugs—demonstrating pharmacodynamic or clinical equivalence is more challenging.[40]

United States edit

Enacted in 1984, the Drug Price Competition and Patent Term Restoration Act, informally known as the Hatch–Waxman Act, standardized procedures for recognition of generic drugs. In 2007, the FDA launched the Generic Initiative for Value and Efficiency (GIVE):[41] an effort to modernize and streamline the generic drug approval process, and to increase the number and variety of generic products available.[citation needed]

Before a company can market a generic drug, it needs to file an Abbreviated New Drug Application (ANDA) with the Food and Drug Administration, seeking to demonstrate therapeutic equivalence to a previously approved "reference-listed drug" and proving that it can manufacture the drug safely and consistently.[42] For an ANDA to be approved, the FDA requires that the 90% confidence interval of the geometric mean test/reference ratios for the total drug exposure (represented by the area under the curve or AUC) and the maximum plasma concentration (Cmax) should fall within limits of 80–125%.[43] (This range is part of a statistical calculation, and does not mean that generic drugs are allowed to differ from their brand-name counterparts by up to 25 percent.) The FDA evaluated 2,070 studies conducted between 1996 and 2007 that compared the absorption of brand-name and generic drugs into a person's body. The average difference in absorption between the generic and the brand-name drug was 3.5 percent, comparable to the difference between two batches of a brand-name drug.[44][45] Non-innovator versions of biologic drugs, or biosimilars, require clinical trials for immunogenicity in addition to tests establishing bioequivalency. These products cannot be entirely identical because of batch-to-batch variability and their biological nature, and they are subject to extra rules.[46]

 
Generic Drugs Research

When an application is approved, the FDA adds the generic drug to its Approved Drug Products with Therapeutic Equivalence Evaluations list and annotates the list to show the equivalence between the reference-listed drug and the generic. The FDA also recognizes drugs that use the same ingredients with different bioavailability and divides them into therapeutic equivalence groups.[42] For example, as of 2006, diltiazem hydrochloride had four equivalence groups, all using the same active ingredient, but considered equivalent only within each group.[47]

In order to start selling a drug promptly after the patent on innovator drug expires, a generic company has to file its ANDA well before the patent expires. This puts the generic company at risk of being sued for patent infringement, since the act of filing the ANDA is considered "constructive infringement" of the patent.[42] In order to incentivize generic companies to take that risk the Hatch-Waxman act granted a 180-day administrative exclusivity period to generic drug manufacturers who are the first to file an ANDA.[48]

When faced with patent litigation from the drug innovator or patent holder, generic companies will often counter-sue, challenging the validity of the patent.[49][50][51][52][53] Like any litigation between private parties, the innovator and generic companies may choose to settle the litigation. Some of these settlement agreements have been struck down by courts when they took the form of reverse payment patent settlement agreements, in which the generic company basically accepts a payment to drop the litigation, delaying the introduction of the generic product and frustrating the purpose of the Hatch–Waxman Act.[54][55]

Innovator companies sometimes try to maintain some of the revenue from their drug after patents expire by allowing another company to sell an authorized generic; a 2011 FTC report found that consumers benefitted from lower costs when an authorized generic was introduced during the 180 day exclusivity period, as it created competition.[56][57]

Innovator companies may also present arguments to the FDA that the ANDA should not be accepted by filing an FDA citizen petition. The right of individuals or organizations to petition the federal government is guaranteed by the First Amendment to the United States Constitution.[58] For this reason, the FDA has promulgated regulations that provide, among other things, that at any time, any "interested person" can request that the FDA "issue, amend, or revoke a regulation or order," and set forth a procedure for doing so.[59][60]

Acceptance edit

Some generic drugs are viewed with suspicion by doctors. For example, warfarin (Coumadin) has a narrow therapeutic window and requires frequent blood tests to make sure patients do not have a subtherapeutic or a toxic level. A study performed in Ontario showed that replacing Coumadin with generic warfarin was safe,[61] but many physicians are not comfortable with their patients taking branded generic equivalents.[62] In some countries (for example, Australia) where a drug is prescribed under more than one brand name, doctors may choose not to allow pharmacists to substitute a brand different from the one prescribed unless the consumer requests it.[63]

Fraud edit

A series of scandals around the approval of generic drugs in the late 1980s shook public confidence in generic drugs; there were several instances in which companies obtained bioequivalence data fraudulently, by using the branded drug in their tests instead of their own product, and a congressional investigation found corruption at the FDA, where employees were accepting bribes to approve some generic companies' applications and delaying or denying others.[30][64][65][66]

In 2007, North Carolina Public Radio's The People's Pharmacy began reporting on consumers' complaints that generic versions of bupropion (Wellbutrin) were yielding unexpected effects.[67] Subsequently, Impax Laboratories's 300 mg extended-release tablets, marketed by Teva Pharmaceutical Industries, were withdrawn from the US market after the FDA determined in 2012 that they were not bioequivalent.[68][69]

Problems with the quality of generic drugs – especially those produced outside the United States – are widespread as of 2019.[70] The FDA does infrequent – less than annual – inspections of production sites outside the United States. The FDA normally gives advance notice of inspections, which can lead to cover-ups of problems before inspectors arrive; inspections performed with little or no advance notice have produced evidence of serious problems at a majority of generic drug manufacturing sites in India and China.[70]

Litigation edit

Two women, each claiming to have suffered severe medical complications from a generic version of metoclopramide, lost their Supreme Court appeal on June 23, 2011. In a 5–4 ruling in PLIVA, Inc. v. Mensing,[71][72] the court held that generic companies cannot be held liable for information, or the lack of information, on the originator's label.[73][74][75]

India edit

The Indian government began encouraging more drug manufacturing by Indian companies in the early 1960s, and with the Patents Act in 1970.[76] The Patents Act removed composition patents for foods and drugs, and though it kept process patents, these were shortened to a period of five to seven years. The resulting lack of patent protection created a niche in both the Indian and global markets that Indian companies filled by reverse-engineering new processes for manufacturing low-cost drugs.[77] The code of ethics issued by the Medical Council of India in 2002 calls for physicians to prescribe drugs by their generic names only.[78] India is a leading country in the world's generic drugs market, with Sun Pharmaceuticals being the largest pharmaceutical company in India. Indian generics companies exported US$17.3 billion worth of drugs in the 2017–18 (April–March) year.

In 1945–2017, bioequivalence studies were only required for generics of drugs that are less than four years old. Since 2017, all generic drugs of certain classes, irrespective of age, require bioequivalence to be approved.[79]

China edit

Generic drug production is a large part of the pharmaceutical industry in China. Western observers have said that China lacks administrative protection for patents.[80] However, entry to the World Trade Organization has brought a stronger patent system.[81] China remains the largest exporter of active pharmaceutical ingredients, accounting for 40% of the world market per an 2017 estimate.[82]

Bioequivalence studies are required for new generic drugs starting from 2016, with older drugs planned as well. In addition, in vitro dissolution behavior is required to match.[83] Since 2018, 44 classes of drugs are exempt from testing (requiring only a dissolution check), and 13 classes only require simplified testing.[84]

Industry edit

As of 2021, several major companies traditionally dominate the generic drugs market, including Viatris (merger of Mylan and Upjohn), Teva, Novartis' Sandoz, and Sun Pharma.[85] Prices in traditional generic drugs have declined and newer companies such as India-based Sun Pharma, Aurobindo Pharma, and Dr. Reddy's Laboratories, as well as Canada-based Apotex, have taken market share, which has led to a focus on biosimilars.

See also edit

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Further reading edit

External links edit

  • "United States Adopted Names Program, generic drug naming process, lists of adopted names". 16 August 2023.
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A generic drug or simply generic is a pharmaceutical drug that contains the same chemical substance as a drug that was originally protected by chemical patents Generic drugs are allowed for sale after the patents on the original drugs expire Because the active chemical substance is the same the medical profile of generics is equivalent in performance compared to their performance at the time when they were patented drugs 1 2 A generic drug has the same active pharmaceutical ingredient API as the original but it may differ in some characteristics such as the manufacturing process formulation excipients color taste and packaging 2 In some countries such as Brazil photo and France more than 20 of all drug sales in units are generic Although they may not be associated with a particular company generic drugs are usually subject to government regulations in the countries in which they are dispensed They are labeled with the name of the manufacturer and a generic non proprietary name such as the United States Adopted Name USAN or International Nonproprietary Name INN of the drug A generic drug must contain the same active ingredients as the original brand name formulation The U S Food and Drug Administration FDA requires generics to be identical to or within an acceptable bioequivalent range of their brand name counterparts with respect to pharmacokinetic and pharmacodynamic properties 3 The FDA s use of the word identical is a legal interpretation not literal citation needed Biopharmaceuticals such as monoclonal antibodies differ biologically from small molecule drugs Biosimilars have active pharmaceutical ingredients that are almost identical to the original product and are typically regulated under an extended set of rules but they are not the same as generic drugs as the active ingredients are not the same as those of their reference products 4 In most cases generic products become available after the patent protections afforded to the drug s original developer expire Once generic drugs enter the market competition often leads to substantially lower prices for both the original brand name product and its generic equivalents In most countries patents give 20 years of protection However many countries and regions such as the European Union and the United States 5 may grant up to five years of additional protection patent term restoration if manufacturers meet specific goals such as conducting clinical trials for pediatric patients 6 Manufacturers wholesalers insurers and drugstores can all increase prices at various stages of production and distribution 7 In 2014 according to an analysis by the Generic Pharmaceutical Association generic drugs accounted for 88 percent of the 4 3 billion prescriptions filled in the United States 8 2 Branded generics on the other hand are defined by the FDA and National Health Service as products that are a either novel dosage forms of off patent products produced by a manufacturer that is not the originator of the molecule or b a molecule copy of an off patent product with a trade name 9 Since the company making branded generics can spend little on research and development it is able to spend on marketing alone thus earning higher profits and driving costs down 10 For example the largest revenues of Ranbaxy now owned by Sun Pharma came from branded generics 11 12 Contents 1 Nomenclature 2 Economics 2 1 United States 2 1 1 Acceptance 2 1 2 Fraud 2 1 3 Litigation 2 2 India 2 3 China 3 Industry 4 See also 5 References 6 Further reading 7 External linksNomenclature editSee also Drug nomenclature Generic drug names are constructed using standardized affixes that distinguish drugs between and within classes and suggest their action citation needed Economics editWhen a pharmaceutical company first markets a drug it is usually under a patent that until it expires the company can use to exclude competitors by suing them for patent infringement 13 Pharmaceutical companies that develop new drugs generally only invest in drug candidates with strong patent protection as a strategy to recoup their costs of drug development including the costs of the drug candidates that fail and to make a profit 14 The average cost to a brand name company of discovering testing and obtaining regulatory approval for a new drug with a new chemical entity was estimated to be as much as US 800 million in 2003 15 and US 2 6 billion in 2014 16 Drug companies that bring new products have several product line extension strategies they use to extend their exclusivity some of which are seen as gaming the system and labeled evergreening by critics but at some point there is no patent protection available 13 For as long as a drug patent lasts a brand name company enjoys a period of market exclusivity or monopoly in which the company is able to set the price of the drug at a level that maximizes profit This profit often greatly exceeds the development and production costs of the drug allowing the company to offset the cost of research and development of other drugs that are not profitable or do not pass clinical trials 7 The impact of loss of patent exclusivity on pharmaceutical products varies significantly across different product classes e g biologics vs small molecules largely due to regulatory legal and manufacturing hurdles associated with such products Indeed the greater degree of brand brand competitive dynamics seen in the biologics and complex generics space allows manufacturers of originators to better protect market share following loss of patent exclusivity 17 Large pharmaceutical companies often spend millions protecting their patents from generic competition 7 Apart from litigation they may reformulate a drug or license a subsidiary or another company to sell generics under the original patent Generics sold under license from the patent holder are known as authorized generics 18 Generic drugs are usually sold for significantly lower prices than their branded equivalents and at lower profit margins 19 One reason for this is that competition increases among producers when a drug is no longer protected by patents 19 Generic companies incur fewer costs in creating generic drugs only the cost of manufacturing without the costs of drug discovery and drug development and are therefore able to maintain profitability at a lower price 19 20 21 The prices are often low enough for users in less prosperous countries to afford them For example Thailand has imported millions of doses of a generic version of the blood thinning drug Plavix used to help prevent heart attacks from India the leading manufacturer of generic drugs at a cost of US 0 03 per dose 22 Generic drug companies may also receive the benefit of the previous marketing efforts of the brand name company including advertising presentations by drug representatives and distribution of free samples Many drugs introduced by generic manufacturers have already been on the market for a decade or more and may already be well known to patients and providers although often under their branded name citation needed India is a leading country in the world s generic drugs market exporting US 20 0 billion worth of drugs in the 2019 20 April March year 23 India exports generic drugs to the United States and the European Union 24 also the according to market research community the Global Generic Drugs Market was evaluated US 465 96 million in 2021 and is expected to rise with a CAGR of 5 5 from 2022 2028 during the forecast period 25 In the United Kingdom generic drug pricing is controlled by the government s reimbursement rate The price paid by pharmacists and doctors is determined mainly by the number of license holders the sales value of the original brand and the ease of manufacture A typical price decay graph will show a scalloped curve 26 which usually starts at the brand name price on the day of generic launch and then falls as competition intensifies After some years the graph typically flattens out at approximately 20 of the original brand price In about 20 of cases the price bounces Some license holders withdraw from the market when the selling price dips below their cost of goods and the price then rises for a while until the license holders re enter the market with new stock 27 28 The NHS spent about 4 3 billion on generic medicines in 2016 17 29 In 2012 84 percent of prescriptions in the US were filled with generic drugs 30 and in 2014 the use of generic drugs in the United States led to US 254 billion in health care savings 8 2 In the mid 2010s the generics industry began transitioning to the end of an era of giant patent cliffs in the pharmaceutical industry patented drugs with sales of around US 28 billion were set to come off patent in 2018 but in 2019 only about US 10 billion in revenue was set to open for competition and less the next year Companies in the industry have responded with consolidation or turning to try to generate new drugs 31 Most developed nations require generic drug manufacturers to prove that their formulations are bioequivalent to their brand name counterparts 32 33 34 35 36 37 Bioequivalence does not mean generic drugs must be exactly the same as the brand name product pharmaceutical equivalent Chemical differences may exist a different salt or ester may be used for instance Different inactive ingredients means that the generic may look different from the originator brand 38 However the therapeutic effect of the drug must be the same pharmaceutical alternative citation needed Most small molecule drugs are accepted as bioequivalent if their pharmacokinetic parameters of area under the curve AUC and maximum concentration Cmax are within a 90 confidence interval of 80 125 most approved generics in the US are well within this limit 39 For more complex products such as inhalers patch delivery systems liposomal preparations or biosimilar drugs demonstrating pharmacodynamic or clinical equivalence is more challenging 40 United States edit Enacted in 1984 the Drug Price Competition and Patent Term Restoration Act informally known as the Hatch Waxman Act standardized procedures for recognition of generic drugs In 2007 the FDA launched the Generic Initiative for Value and Efficiency GIVE 41 an effort to modernize and streamline the generic drug approval process and to increase the number and variety of generic products available citation needed Before a company can market a generic drug it needs to file an Abbreviated New Drug Application ANDA with the Food and Drug Administration seeking to demonstrate therapeutic equivalence to a previously approved reference listed drug and proving that it can manufacture the drug safely and consistently 42 For an ANDA to be approved the FDA requires that the 90 confidence interval of the geometric mean test reference ratios for the total drug exposure represented by the area under the curve or AUC and the maximum plasma concentration Cmax should fall within limits of 80 125 43 This range is part of a statistical calculation and does not mean that generic drugs are allowed to differ from their brand name counterparts by up to 25 percent The FDA evaluated 2 070 studies conducted between 1996 and 2007 that compared the absorption of brand name and generic drugs into a person s body The average difference in absorption between the generic and the brand name drug was 3 5 percent comparable to the difference between two batches of a brand name drug 44 45 Non innovator versions of biologic drugs or biosimilars require clinical trials for immunogenicity in addition to tests establishing bioequivalency These products cannot be entirely identical because of batch to batch variability and their biological nature and they are subject to extra rules 46 nbsp Generic Drugs ResearchWhen an application is approved the FDA adds the generic drug to its Approved Drug Products with Therapeutic Equivalence Evaluations list and annotates the list to show the equivalence between the reference listed drug and the generic The FDA also recognizes drugs that use the same ingredients with different bioavailability and divides them into therapeutic equivalence groups 42 For example as of 2006 diltiazem hydrochloride had four equivalence groups all using the same active ingredient but considered equivalent only within each group 47 In order to start selling a drug promptly after the patent on innovator drug expires a generic company has to file its ANDA well before the patent expires This puts the generic company at risk of being sued for patent infringement since the act of filing the ANDA is considered constructive infringement of the patent 42 In order to incentivize generic companies to take that risk the Hatch Waxman act granted a 180 day administrative exclusivity period to generic drug manufacturers who are the first to file an ANDA 48 When faced with patent litigation from the drug innovator or patent holder generic companies will often counter sue challenging the validity of the patent 49 50 51 52 53 Like any litigation between private parties the innovator and generic companies may choose to settle the litigation Some of these settlement agreements have been struck down by courts when they took the form of reverse payment patent settlement agreements in which the generic company basically accepts a payment to drop the litigation delaying the introduction of the generic product and frustrating the purpose of the Hatch Waxman Act 54 55 Innovator companies sometimes try to maintain some of the revenue from their drug after patents expire by allowing another company to sell an authorized generic a 2011 FTC report found that consumers benefitted from lower costs when an authorized generic was introduced during the 180 day exclusivity period as it created competition 56 57 Innovator companies may also present arguments to the FDA that the ANDA should not be accepted by filing an FDA citizen petition The right of individuals or organizations to petition the federal government is guaranteed by the First Amendment to the United States Constitution 58 For this reason the FDA has promulgated regulations that provide among other things that at any time any interested person can request that the FDA issue amend or revoke a regulation or order and set forth a procedure for doing so 59 60 Acceptance edit Some generic drugs are viewed with suspicion by doctors For example warfarin Coumadin has a narrow therapeutic window and requires frequent blood tests to make sure patients do not have a subtherapeutic or a toxic level A study performed in Ontario showed that replacing Coumadin with generic warfarin was safe 61 but many physicians are not comfortable with their patients taking branded generic equivalents 62 In some countries for example Australia where a drug is prescribed under more than one brand name doctors may choose not to allow pharmacists to substitute a brand different from the one prescribed unless the consumer requests it 63 Fraud edit A series of scandals around the approval of generic drugs in the late 1980s shook public confidence in generic drugs there were several instances in which companies obtained bioequivalence data fraudulently by using the branded drug in their tests instead of their own product and a congressional investigation found corruption at the FDA where employees were accepting bribes to approve some generic companies applications and delaying or denying others 30 64 65 66 In 2007 North Carolina Public Radio s The People s Pharmacy began reporting on consumers complaints that generic versions of bupropion Wellbutrin were yielding unexpected effects 67 Subsequently Impax Laboratories s 300 mg extended release tablets marketed by Teva Pharmaceutical Industries were withdrawn from the US market after the FDA determined in 2012 that they were not bioequivalent 68 69 Problems with the quality of generic drugs especially those produced outside the United States are widespread as of 2019 70 The FDA does infrequent less than annual inspections of production sites outside the United States The FDA normally gives advance notice of inspections which can lead to cover ups of problems before inspectors arrive inspections performed with little or no advance notice have produced evidence of serious problems at a majority of generic drug manufacturing sites in India and China 70 Litigation edit Two women each claiming to have suffered severe medical complications from a generic version of metoclopramide lost their Supreme Court appeal on June 23 2011 In a 5 4 ruling in PLIVA Inc v Mensing 71 72 the court held that generic companies cannot be held liable for information or the lack of information on the originator s label 73 74 75 India edit Main article Pharmaceutical industry in India The Indian government began encouraging more drug manufacturing by Indian companies in the early 1960s and with the Patents Act in 1970 76 The Patents Act removed composition patents for foods and drugs and though it kept process patents these were shortened to a period of five to seven years The resulting lack of patent protection created a niche in both the Indian and global markets that Indian companies filled by reverse engineering new processes for manufacturing low cost drugs 77 The code of ethics issued by the Medical Council of India in 2002 calls for physicians to prescribe drugs by their generic names only 78 India is a leading country in the world s generic drugs market with Sun Pharmaceuticals being the largest pharmaceutical company in India Indian generics companies exported US 17 3 billion worth of drugs in the 2017 18 April March year In 1945 2017 bioequivalence studies were only required for generics of drugs that are less than four years old Since 2017 all generic drugs of certain classes irrespective of age require bioequivalence to be approved 79 China edit Main article Pharmaceutical industry in China Generic drug production is a large part of the pharmaceutical industry in China Western observers have said that China lacks administrative protection for patents 80 However entry to the World Trade Organization has brought a stronger patent system 81 China remains the largest exporter of active pharmaceutical ingredients accounting for 40 of the world market per an 2017 estimate 82 Bioequivalence studies are required for new generic drugs starting from 2016 with older drugs planned as well In addition in vitro dissolution behavior is required to match 83 Since 2018 44 classes of drugs are exempt from testing requiring only a dissolution check and 13 classes only require simplified testing 84 Industry editAs of 2021 several major companies traditionally dominate the generic drugs market including Viatris merger of Mylan and Upjohn Teva Novartis Sandoz and Sun Pharma 85 Prices in traditional generic drugs have declined and newer companies such as India based Sun Pharma Aurobindo Pharma and Dr Reddy s Laboratories as well as Canada based Apotex have taken market share which has led to a focus on biosimilars See also editAnti Counterfeiting Trade Agreement Criminalising generic medicine ACTA Bayh Dole Act Generic brand Generic pharmaceutical price decay International Nonproprietary Name Inverse benefit law Medicines Patent Pool Me too compound Prescription costs Research exemption SOPA Protection against counterfeit drugs Transatlantic Trade and Investment PartnershipReferences edit Generic Drug Facts Center for Drug Evaluation and Research U S Food and Drug Administration 2017 10 06 retrieved 2017 11 11 a b What s the difference between brand name and generic prescription drugs Scientific American Retrieved 2017 11 11 Food amp Drug Administration Generic Drugs Questions and Answers Food and Drug Administration January 12 2010 Retrieved 2010 02 03 Biosimilar and Interchangeable Products U S Food and Drug Administration Retrieved 5 May 2018 35 U S C 154 a 2 Pediatric Research Equity Act of 2007 PDF Food and Drug Administration a b c An insider s view of generic drug pricing Los Angeles Times March 25 2013 a b Generic Drug Savings in the U S PDF Washington DC Generic Pharmaceutical Association GPhA 2015 Retrieved 16 June 2016 FAQ on generic drugs FDA Food and drug administration Retrieved 21 May 2018 FDA White Paper Generic Drug Prices in the US Are Lower Than Drug Prices in Canada FDA 6 US Food and Drug Administration Office of Planning Retrieved 21 May 2018 Branded Generics Misunderstood but Lucrative Pharmacy Times 1 October 2008 Retrieved 21 May 2018 Big Pharma Embraces Branded Generics Seeking Alpha 2010 10 31 Retrieved 21 May 2018 a b Gupta H Kumar S Roy SK Gaud RS January 2010 Patent protection strategies Journal of Pharmacy amp Bioallied Sciences 2 1 2 7 doi 10 4103 0975 7406 62694 PMC 3146086 PMID 21814422 Frakt A 28 September 2015 How Patent Law Can Block Even Lifesaving Drugs The New York Times DiMasi JA Hansen RW Grabowski HG March 2003 The price of innovation new estimates of drug 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20 2015 What it takes to be called big pharma Market Realist Market Realist Thailand to import generic version of heart drug Plavix from India Forbes 2007 08 22 Retrieved 2008 10 13 dead link Dasgupta N Miglani S 12 July 2018 Exclusive With U S trade under a cloud China opens to Indian pharma Reuters Retrieved 12 April 2020 India could withdraw curbs on drug exports as pharma firms fear loss of business 6 March 2020 Global Generic Drugs Market by Type Simple Generic Drugs super Generic drugs Biosimilar Application Anti infective Cardiovascular Central Nervous System Diabetes Oncology Respiratory Rheumatology and Region North America U S Canada Mexico Europe Germany France U K Russia Spain Italy Benelux Rest of Europe Asia Pacific China Japan India South Korea Australia ASEAN Rest of Asia Pacific Latin America Brazil Argentina Chile and Rest of Latin America and Middle East and Africa GCC Turkey and South America Growth Trends Covid 19 Impact And Forecasts 2022 2028 Market Research 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Budeprion XL 300 mg Not Therapeutically Equivalent to Wellbutrin XL 300 mg U S Food and Drug Administration 2012 10 03 Retrieved 2013 04 20 a b Eban K 11 May 2019 Americans Need Generic Drugs But Can They Trust Them The New York Times Retrieved 2019 05 15 PLIVA Inc v Mensing SCOTUS Blog Retrieved 23 May 2017 564 PLIVA Inc v Mensing PDF Supreme Court of the United States 2011 Archived from the original PDF on 2013 05 12 Liptak A 23 June 2011 Drug Makers Win Two Supreme Court Decisions New York Times Casey S 24 October 2012 Generic Pharmaceutical Liability Challenges And Changes Law360 Mears B 2011 06 23 High Court sides with generic drug makers in narrow ruling CNN Retrieved 2013 01 01 The Patent Act 1970 www ircc iitb ac in Archived from the original on April 30 2010 Haley GT Haley UC 2012 The effects of patent law changes on innovation The case of India s pharmaceutical industry Technological Forecasting and Social Change 79 4 607 619 doi 10 1016 j techfore 2011 05 012 Code of Medical Ethics Regulations 2002 NMC National Medical Commission Every physician should as far as possible prescribe drugs with generic names and he she shall ensure that there is a rational prescription and use of drugs Reddy P April 12 2017 India makes a long overdue move to ensure better drug safety Scroll in China s Pharmaceutical Industry Lacks Innovation Lags Behind China Watch Washington D C United States Worldwatch Institute worldwatch org archived from the original on December 26 2018 retrieved Jan 3 2012 Disciplining China s Trade Practices at the WTO How WTO Complaints Can Help Make China More Market Oriented Cato Institute 2018 11 15 Retrieved 2020 04 08 The world needs pharmaceuticals from China and India to beat coronavirus 2020 05 25 Retrieved 2020 10 13 Lane EJ 16 March 2016 China FDA lays down new guidelines on bioequivalence for generics FiercePharma Ye W 2017 11 13 可豁免或简化人体生物等效性试验 BE 品种 44个豁免BE品种 13个简化BE品种名单 Species that can be exempted or simplified from human bioequivalence testing BE 44 exempted BE varieties 13 simplified BE varieties list 贤集网 Xianji com in Chinese permanent dead link Top Global Pharmaceutical Company Report PDF The Pharma 1000 November 2021 Retrieved 29 December 2022 Further reading editGreene JA 2014 Generic The Unbranding of Modern Medicine JHU Press ISBN 978 1421414935 External links edit United States Adopted Names Program generic drug naming process lists of adopted names 16 August 2023 USFDA Office of Generic Drugs Food and Drug Administration Archived from the original on 2009 05 28 Retrieved 2019 12 16 UK Department of Health generic drugs Archived from the original on 2007 03 01 The Medical Letter on Drugs and Therapeutics GPhA Generic Pharmaceutical Association Archived from the original on 2021 04 22 Retrieved 2008 06 16 Canada Generic Drugs Government of Canada and Health Canada 2 May 2018 Retrieved from https en wikipedia org w index php title Generic drug amp oldid 1194860575, wikipedia, wiki, book, books, library,

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