Morocco seeks to promote use of generic medicines

02/05/2008

Morocco's Health Ministry plans to expand the use of generic medicines in the private sector. While consumers would benefit from the lower prices, trade agreements and patent restrictions could hinder the sector's growth.

Sarah Touahri in Rabat contributed to this report for Magharebia – 02/05/08

[File] Health Minister Yasmina Baddou has advocated fixing prices on generic drugs to rein in the cost of health care and create balance between imported and locally-manufactured medicines.

While generic drugs are commonly used in Morocco's state-run hospitals, accounting for up to 90 % of the public-sector market, they have a long way to go before they see the same saturation in the private sector. A new policy announced by the Health Ministry aims to promote the use of generic medicines and keep drug prices in line with citizens' purchasing power.

Speaking at a forum organized by the Moroccan Association of Public Sector Pharmacists (AMPSP), Health Minister Yasmina Baddou said she wants to revitalise the generic medicine sector and increase its market share from its current 25%. A new plan is needed, she told attendees at the April 15th event in Rabat, because measures thus far have been "insufficient for a strong and sustained promotion of generic drugs".

The Health Ministry's plan hinges upon a price-fixing policy designed to rein in healthcare spending and achieve parity between imported and locally-manufactured drugs.

"Generic medicines allow us to save a lot in hospitals," said Abdelaziz Agoumi, the ministry's director of drugs and pharmacy. He added that when invitations to tender are made, the least expensive drugs end up in hospitals.

AMPSP President Hachmi Bouzbib affirmed that generic drugs are equal in quality to name-brand medicines. However, they are much more affordable for the public, with the lowest prices equal to just 20-50% of those of name-brand drugs.

But according to the Moroccan Pharmaceutical Industry Association (AMIP), only 60 million units of generic medicines are sold among the estimated total of 200 million units in the private sector each year. And despite their affordability, generics have only risen from 19 to 30% of sales in the past ten years.

Abdelmajid Belaiche, who works in the pharmaceutical industry, said generic medicines enable the health insurance system to cater to healthcare needs and keep expenditures to a minimum. This means that insurers can balance their books and thereby ensure that they are viable and sustainable.

"We need to increase access to drugs and especially those for chronic and serious illnesses. Generics are a key means of increasing access to healthcare for the public and in particular the most disadvantaged people in society," he says.

However, some laboratories which produce branded drugs are against the idea of producing generics en masse. According to medical representative Fatima Ayyachi, laboratories strive to earn the loyalty of doctors who prescribe name-brand drugs. "Laboratories are doing everything they can to consolidate their position," she said.

Meanwhile, the president of the executive committee of the Pan-African Treatment Access Movement, Othman Mellouk, told Magharebia that generics cannot be promoted without tackling the issue of patents, a major hurdle. He explained that since the adoption of the Free Trade Agreement between Morocco and the United States, Morocco has gone from having a patent-free system to a restrictive system which must be relaxed if the generics market is to grow.

"We need to promote [generics] in order to encourage Moroccans to seek healthcare, particularly for chronic illnesses. Many Moroccans go without treatment because of the staggering cost of drugs," Dr. Mohamed Serghini told Magharebia. "Generic drugs have the same effect as branded ones. The only difference is in terms of price."