European drug pricing to affect CMO profitability, future performance

PharmSource trend report shows ‘battle of formulary access’ expanding to U.S.

FAIRFAX, VA. July 14, 2014 – As economic austerity forces Europe’s state-funded health-care systems to limit patient access to just those pharmaceuticals with clearly proven health and cost benefits, contract manufacturing organizations (CMOs) should prepare themselves for similar de-facto drug rationing in the United States.

That’s the warning found in the latest trend report presented by PharmSource. The report, Not So NICE: How Market Access Schemes Impact the CMO Sector, presents detailed research and analysis of how European drug-rationing policies could affect pharmaceutical manufacturing profitability – and future operations – in the EU, the US and elsewhere.

PharmSource’s expert researchers examine in-depth how European health systems in the United Kingdom and Germany have impacted drug approvals in the past several years – and the consequences of those drug-approval regimens and pricing policy decisions for CMOs.

“As efforts to control soaring health-care costs continue to intensify, the battle for formulary access is expanding from Europe to the United States,” said Saul Richmond, Ph.D., PharmSource Director of Market Intelligence. “CMOs must become aware that these pharmaco-economic issues are increasingly important to their future prospects.”

The 15-page trend report is provided as a complimentary benefit to subscribers of PharmSource’s Strategic Advantage service, the bio/pharmaceutical industry’s most respected outsourcing information web portal for contract drug development and manufacturing audiences. This trend report is considered required reading for CMO executives, bio/pharmaceutical sourcing and procurement executives, and private equity investors.

To learn more about the report, contact PharmSource at or +1-703-383-4903.

PharmSource is the recognized authority of unbiased knowledge about the global bio/pharmaceutical contract services industry. The company’s publications, databases, research tools and analyses inform buyers and sellers of bio/pharma contract services about industry trends, activities and partnership opportunities. Since 1996, CMOs, CDMOs and CROs worldwide have looked to PharmSource for critical information delivered with timeliness and integrity.

PharmSource contact information:
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