Piggy bank with dollars banknotes

Talk About Savings! FDA Report Hammers the Point Home!

In FDA’s just released report, Estimating Cost Savings from Generic Drug Approvals In 2017, the Agency points to some staggering savings to consumers from the generic drug applications it has approved.  I have read through the report a number of times already, and must say I am not quite certain what the numbers actually mean, but the conclusions are quite clear – generics save the public a boat load of money!  The full report can be found here.

The bottom line can be summed up by repeating the conclusory paragraph:

FDA approved a record number of generic drug applications in 2017.  We estimate that the generic drug approval pathway in 2017 contributed to American drug buyers saving $11.8 billion in drug costs to-date, $8.8 billion in drug costs in 2017 alone, and expect that these buyers would save over the course of one full year, approximately $16 billion.  Since its inception in 1984, the generic drug approval pathway has played a critical role in increasing access to safe, high-quality, and affordable medicines for the American public.

I am certain that we will hear a lot more about generic savings as the Association for Accessible Medications (the old GPhA) gets there hands on this data.