1st OsMed Report on Parallel Import (IP) and Export of Medicines for Human Use by AIFA
You can review it here https://lnkd.in/dRgRGUV
AIFA's presentation explains how the main driver of parallel trade is the price differential between source and destination countries caused by different demand for the product, different purchasing power in different countries, exchange rate fluctuations, regulations and different wholesale and pharmacy margins, reimbursement systems in place (internal reference prices, compulsory discounting...), and finally the pharmaceutical supply chain.
The European Court of Justice and the European Commission have stated that the two products do not have to be identical in all respects, but at least they should be manufactured according to the same formula, use the same active ingredient and have the same therapeutic effects.
In 2005, 2 AIPs were applied for, in 2018 282! This is definitely a growing phenomenon.
It is a niche market at EU level, but a vibrant one, which grew strongly in the three-year period 2016-2018. It concerns almost exclusively 'branded' products and is concentrated on a few players and a few molecules. Since 2015, declining trend in Class A and growing Class C. Presence in the public health facilities channel is low.
In the future, a reversal of the band C / band A trend, the entry of new players, as well as the effects of Brexit might be possible. Parallel import could also play a role in the future in the management of shortages/availability of products.
