[Editorial] U.S. Interfering in Domestic Drug Prices
A United States government official is strongly demanding that Korea review its policy on pharmaceutical prices because the new policy is supposedly disadvantageous for multinational pharmaceutical companies. There is nothing new about the U.S. struggling to increase profits from U.S.-made pharmaceutical products and patents, but it is dumbfounding to see it openly interfering in another country’s health and welfare policies. It is more than wrongful pressure and a lack of diplomatic courtesy; it is a serious infringement on Korea’s sovereignty.
The key element of the new pharmaceutical price policy announced by the health and welfare authorities the other day is that the best drugs in terms of price and effectiveness will be covered by national health insurance, but that the National Health Insurance Corporation will determine prices paid for by insurance through negotiations with the companies that produce the pharmaceuticals in question. The government lacks concrete implementation plans, but it is a positive development if it is going to supply less expensive, quality drugs.
In fact, if this new program is adopted it is the multinational companies that are at the greatest advantage. Most patented drugs become insurance-paid drugs without any problems, but the domestic pharmaceutical market makes intense competition unavoidable, and that is why Korean companies are complaining that the government’s policy is unilaterally advantageous to multinational companies that have a lot of capital. The reason the U.S. is still openly opposed to the new policy on drug prices is because it is worried that the process of having certain drugs registered with the insurance program will become more complicated and prices will go down if the government has the authority to negotiate prices on patented pharmaceutical products. It is thoroughly trying to maximize the profits of multinational pharmaceutical companies, and it has no concern for the financial burden for domestic consumers and their health rights. Australia has a similar drug price policy, and we should look at how prices went up after it signed a free trade agreement with the U.S. That is because it conceded much of the right to determine prices to the multinational companies because of persistent American demands.
It has been several years now since the U.S. government, through a “pharmaceutical product working group,” began tenaciously taking issue with our government’s policy, which is focused on lowering prices. The way American officials are openly interfering in policymaking shows you how serious the U.S. is about drug prices in the course of negotiations on the free trade agreement, which begin in earnest next month. The government disregards the accusations and says it would make no sense to ask for changes in a country’s policy when it has been reported to the president and the National Assembly, but you wonder how well it is going to negotiate when so far it has acted like it is accommodating inappropriate American demands and pressure. Drug policy is a matter of the people’s health and lives, and it must not be put at risk because of wrongful and arrogant American pressure.
Registrated at : 2006-05-05 AM 08:48:08
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