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Study Reveals ‘Game-Changing’ Diabetes Drugs Marked Up Excessively 

September 2,2024

Medicine And Science

Study Reveals 'Game-Changing' Diabetes Drugs Marked Up Excessively 

A groundbreaking new study has exposed the shocking markups applied to life-altering diabetes medications. Researchers found that pharmaceutical companies are charging up to 400 times the actual manufacturing cost of these medicines, making them inaccessible for millions worldwide. 

The study focuses on a revolutionary class of diabetes drugs called GLP-1 receptor agonists (GLP-1s). These include popular medications like Novo Nordisk's Ozempic (semaglutide), often used for weight loss off-label, and Eli Lilly's Trulicity (dulaglutide). While GLP-1s have become standard treatment options in wealthy nations, their exorbitant costs leave them out of reach in much of the developing world. This disparity exists despite the growing prevalence of diabetes everywhere. 

How the Real Cost Was Calculated 

The study, conducted by Médecins Sans Frontières (MSF), meticulously analyzed data on the costs of active ingredients, packaging, and distribution for these medications. Researchers then calculated the price point at which pharmaceutical giants could still turn healthy profits while including taxes and fair returns for the companies. 

The results were astounding. GLP-1s could be sold profitably for a mere US$0.89 (71p) per month. However, prices investigated ranged from a staggering $38.21 to an outrageous $353.74. 

MSF Exposes Injustice 

The MSF-authored study was published in the Journal of the American Medical Association (JAMA) Network Open. Christa Cepuch, pharmacist coordinator at MSF's Access Campaign and one of the study's authors, voiced strong condemnation: “These new drugs are an absolute gamechanger for people living with diabetes, but are being kept out of the hands of hundreds of millions of people in low- and middle-income countries who need them.” 

Cepuch continued by emphasizing the need to break the stranglehold of pharmaceutical powerhouses: “Eli Lilly and Novo Nordisk can in no way supply the world with the amount of these medicines needed to meet global demand, so they must immediately relinquish their stranglehold and allow them to be produced by more manufacturers around the world.” 

Insulin Pens Also Profiteering Targets 

The study further shed light on exorbitant markups for pre-filled insulin pens, a safer and more convenient method for diabetes patients than traditional vials and syringes. Despite a potential per-pen manufacturing price of $0.94, MSF found actual patient costs ranging from a far more expensive $1.99 clear up to a shocking $90.69. 

Diabetes medication

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Call for Change 

Dr Helen Bygrave, a non-communicable diseases advisor for MSF and one of the paper's co-authors, passionately dispelled the misconception that old-school insulin vials are the most affordable option: “Nobody starting insulin today in my medical practice in the UK would be expected to inject insulin with syringes. We need to see pharmaceutical corporations put people before their astronomical profits and bring their pen prices down dramatically, so that we can put an end to this global double standard in diabetes care.” 

Pharmaceutical Companies Respond 

A Novo Nordisk spokesperson stated: “While we are unaware of the analysis used in the study, we have always recognised the need for continuous evaluation of innovation and affordability levers to support greater access of our products. We continue to support greater health equity to those in need of diabetes treatment and care.” 

A spokesperson representing Eli Lilly highlighted the company's efforts to supply medicines to resource-poor areas via initiatives and philanthropic donations. They further cited technology sharing with Egyptian manufacturer EVA Pharma to help bring high-quality insulin to at least one million diabetes patients across Africa and other low- and middle-income nations. 

The Devastating Impact of Cost 

The inflated cost of diabetes treatment has severe, even deadly, consequences worldwide. In many low- and middle-income countries, people living with diabetes face the impossible choice between life-saving medication and basic necessities like food and shelter. This often forces them to ration treatment, leading to complications such as blindness, kidney failure, amputations, and even premature death. 

Ozempic, which has gained popularity as a weight-loss medication among celebrities and influencers, is a prime example of this disconnect. While some can afford to use it for reasons beyond diabetes management, millions with the disease struggle to access it. This stark contrast underscores the gross inequity in a system driven by profit rather than public health. 

Insulin: A Century-Old Discovery, Still Out of Reach 

Insulin, initially discovered in 1921, has been a cornerstone of diabetes treatment for over a century. However, many people globally still cannot afford it, despite its long history. The MSF study highlights a shocking reality: modern insulin pens, while providing safer and more precise dosing, remain unattainable for a vast portion of the world's diabetes population. 

Dr Bygrave's emphasis on insulin pens reflects a growing shift in medical practice. In developed nations, these pens are now the preferred delivery method. Yet, in resource-limited regions, the expense of newer technology leaves countless patients reliant on outdated, less user-friendly methods, with increased risk of dosing errors. 

The Global Diabetes Crisis Demands Action 

The spiralling global crisis of diabetes calls for urgent action. The International Diabetes Federation (IDF) estimates that over 536 million adults currently live with diabetes worldwide, with this number expected to reach 783 million by 2045. Alarmingly, the highest projected increases are in low- and middle-income countries, where access to affordable treatment is already severely constrained. 

"The fact that millions of people with diabetes don't have access to the treatment they need is a global public health scandal," said Bygrave. "We need urgent action to address the pricing crisis and ensure that everyone living with diabetes can get the life-saving medicines and technologies they need, no matter where they live." 

Potential Solutions: From Generic Production to Price Negotiations 

MSF advocates for several potential solutions to combat the inaccessibility of diabetes medications. Firstly, allowing generic production would significantly increase supply and bring costs down. Currently, pharmaceutical giants hold tight monopolies through patents or complex manufacturing processes, severely limiting competition. 

Additionally, MSF urges governments and health systems to actively negotiate lower prices with pharmaceutical companies. Many wealthy nations do this effectively, demonstrating that these powerful corporations can indeed be challenged. However, developing countries often lack the resources or influence to bargain for fairer prices. 

Furthermore, addressing the patent system could be another critical step. Patent laws can artificially inflate costs, protecting drug companies' profits at the expense of patients' lives. Mechanisms like "patent pools," where patents are shared among multiple manufacturers, have been successful in increasing access to HIV medications, and could be applied to diabetes treatments as well. 

The Power of Activism and Public Pressure 

Advocacy groups are increasingly stepping up to challenge the status quo. Organizations like MSF and the global non-profit access-to-medicines organization T1International are tirelessly campaigning on behalf of diabetes patients worldwide. These groups use various strategies, ranging from public advocacy campaigns to direct negotiations with pharmaceutical companies. 

"The pharmaceutical companies that produce these life-saving medicines have a moral responsibility to ensure they are as widely accessible as possible," said Dr Bygrave. "They must be held accountable for their actions and forced to change their practices." 

The power of organised public pressure should not be underestimated. Historically, social movements have played a pivotal role in tackling issues of access to medicines. For instance, the activism surrounding the HIV/AIDS crisis in the early 2000s pushed pharmaceutical companies to lower prices and allow for generic versions of life-saving antiretroviral drugs. A similar force for change is needed now to address the diabetes treatment crisis. 

Governments Have a Part to Play 

While pharmaceutical companies bear significant responsibility for the current state of affairs, governments and health systems also wield influence. In addition to price negotiations, governments can utilize compulsory licensing, a legal mechanism that allows them to override patents and permit generic production during public health emergencies. 

The global COVID-19 vaccine inequity has brought this issue into sharp focus. Developing countries have been denied timely access to vaccines due to patents and supply bottlenecks, highlighting the urgency of addressing similar barriers to medication access. Governments have the power to prioritize public health over corporate profits. 

Furthermore, health systems in developed nations can play a role by advocating for fair pricing on a global scale. When wealthy countries secure lower prices through negotiations, they can leverage their collective bargaining power to demand fair treatment for nations with fewer resources. 

The Need for Transparent Pricing 

One of the major challenges in navigating this issue is the lack of transparent pricing by pharmaceutical companies. Drug prices are often shrouded in secrecy, determined through complex negotiations that lack public scrutiny. This system creates an environment ripe for markups and prevents meaningful comparisons between different markets. 

Advocates and policymakers alike are pushing for greater transparency. By knowing the actual manufacturing costs and the markups applied at each stage, it becomes easier to hold pharmaceutical companies accountable and challenge unreasonable pricing practices. 

Looking Ahead: A Call for Change 

The diabetes medication crisis demands a comprehensive response, where governments, pharmaceutical companies, healthcare providers, and civil society organizations work together for solutions. The current situation cannot be allowed to persist any longer. Countless lives hang in the balance. Millions are suffering needlessly, simply because essential medicines are priced beyond their reach. While the challenges are complex, they are not insurmountable. 

The MSF study casts a much-needed spotlight on this pressing issue. It is a call to action that must be amplified and echoed around the world. Only by demanding a patient-centered model, where health takes precedence over corporate profits, can we ensure that everyone living with diabetes can access the treatment they deserve. 

The Personal and Societal Cost of Untreated Diabetes 

The ramifications of untreated or poorly managed diabetes extend far beyond the individual. The condition places a significant strain on healthcare systems worldwide, leading to increased costs for hospitalizations, complications, and long-term care. The indirect economic costs, associated with lost productivity and disability, are also considerable. 

For individual diabetes patients, the consequences of inadequate access to medication can be devastating. Beyond the immediate health risks, they often experience severe financial hardship. Many people are forced to make impossible choices – forgoing vital necessities to pay for insulin or other essential medications. This situation traps patients in a vicious cycle of poverty and ill health. 

Moreover, those who develop debilitating complications from diabetes may be unable to work, adding further strain to families and communities. In low- and middle-income countries, where social safety nets are often weak or non-existent, the consequences can be truly dire. 

The Prevention Imperative 

While ensuring access to affordable medication is an urgent priority, prevention strategies must also play a crucial role in combating the global diabetes epidemic. Type 2 diabetes, which accounts for the vast majority of cases, is often preventable through healthy lifestyle choices. 

Promoting healthy diets, regular exercise, and weight management can significantly reduce the risk of developing type 2 diabetes. Governments have a responsibility to implement policies that address this area. For example, this may include measures like regulating food marketing, improving access to healthy food options, and creating safe environments for physical activity. 

Of course, prevention alone is not enough. Millions of people worldwide already live with diabetes, and they require access to affordable treatment to manage their condition effectively and avoid complications. Both prevention and equitable access to medication must be addressed in tandem for a comprehensive approach to the diabetes crisis 

Ethical and Practical Considerations 

The issue of diabetes medication access raises fundamental ethical questions. Denying lifesaving treatment based on affordability is a moral stain on our collective conscience. Yet, some argue that high drug prices are essential to fund research and development. 

However, this argument falls apart under closer scrutiny. Pharmaceutical companies already enjoy significant profits and frequently invest more in marketing and share buybacks than in research. Additionally, much of the fundamental research underpinning drug development takes place in public institutions funded by taxpayers. 

A Global Challenge Requiring Global Solutions 

The affordability crisis facing diabetes patients is not just a problem for developing countries – it's a global health challenge. The pharmaceutical industry and its pricing practices operate on a global scale, and no country is immune to its impact. Even within high-income nations, concerns are rising about unsustainable drug costs and the implications for healthcare systems. 

Tackling this complex problem requires international cooperation and a willingness to reimagine the model for drug development and accessibility. Governments, advocacy organizations, the pharmaceutical industry, and other stakeholders must come together to find solutions that truly prioritize public health and the well-being of people over profits. 

Diabetes medication

Image Credit - Reuters

Rethinking Healthcare: A Human Rights Approach 

The diabetes medication crisis is a stark reminder that our current healthcare systems often fail to meet the needs of the most vulnerable. This highlights the urgent need for a more equitable and just model of healthcare – one that treats access to life-saving medicines as a fundamental human right, not a commodity to be bought and sold. 

There's growing recognition of health as a human right enshrined in international law. However, the gap between ideals and reality remains wide, particularly regarding access to essential medications. This situation demands a radical shift in priorities, where governments, institutions, and the private sector are held accountable for upholding the right to health. 

The Role of Innovation 

While lowering the astronomical costs of existing diabetes medications is critical, innovation remains essential in the fight against the disease. Researchers are exploring new treatments, diagnostic tools, and technologies that could vastly improve outcomes for millions of people. 

Yet, innovative breakthroughs mean little if they remain inaccessible to the vast majority of patients who need them. We must develop models that harness innovation while ensuring its benefits reach as many people as possible. This may involve new approaches to drug development, funding mechanisms, and ensuring equitable patent regulations. Collaboration between non-profit organizations, research institutions, and the pharmaceutical industry could also unlock advancements. 

The Path Forward: Hope and Determination 

The fight for affordable diabetes medication is a long and complex one, but certainly not without hope. The MSF study, along with the tireless efforts of advocacy groups and individuals worldwide, has helped propel the issue into the public consciousness. 

Change may be slow, but the growing movement for greater accountability in the pharmaceutical industry is gaining momentum. Patients and advocates are demanding transparency, prioritizing public health over profits, and exploring new pathways for affordable medication access. 

Through continued advocacy, collaborative efforts, and a firm belief in health as a human right, we can challenge the status quo. The goal is a future where everyone living with diabetes can access the treatment they need, regardless of their income or where they live. 

A Call for Action 

The stark inequities in diabetes treatment demand action from us all. We can support organizations advocating for affordable medicine or hold our elected officials accountable. Sharing information and raising awareness within our communities amplifies this critical cause. 

The time for complacency is over. The right to life-saving medicines extends to all people worldwide. Let us work together to bring about meaningful change and build a world where health – not profit – takes priority. It's a mission we cannot afford to fail. 

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