The US government's plans to end the pay-for-delay agreements between pharmaceutical and generic companies has been criticised

The US government's plans to end the pay-for-delay agreements between pharmaceutical and generic companies has been criticised by both the Pharmaceutical Research and Manufacturers of America (PhRMA) and the Generic Pharmaceutical Association (GPhA). This ban will prevent generic companies from receiving payments for delaying the launch of generic versions of branded drugs. It is expected to save $US8.8 billion over 10 years. The PhRMA has also criticised the proposal to reduce patent protection on biologics from 12 to seven years, estimated to save a further $2.2 billion over 10 years. However, the GPhA support this proposal saying that there is "no question" that such a policy would save costs.

[Reference]

1. Grogan K.PhRMA blasts Obama over pay-for-delay ban plan. Internet Document: [2 pages], 15 Feb 2011. Available from: URL: http://www.pharmatimes.com. .