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Promoting Generics

Government Mechanisms for Promoting Generic Availability

The budgetary importance of generic medicines is not the only aspect that is driving policy-makers to consider them more seriously. Generic medicines are now recognised as a major instrument for promoting pharmaceutical competition, innovation and new employment in the EU.

A competitive generic medicines market in Europe

It is not just the budgetary role of generic medicines that is driving policy-makers to consider generic medicines seriously. Generics are now recognised as a major instrument for promoting pharmaceutical competition, innovation and employment in the EU. This was strongly emphasised by the G10 High Level Group on Medicines, in its report of May 2002, which called upon Member States to introduce measures "to secure a competitive generic market in Europe".

“To secure the development of a competitive generic market, Member States — facilitated by the Commission — should explore ways of increasing generics penetration in individual markets (including generic prescribing and dispensing). Particular attention should be given to improved market mechanisms in full respect of public health considerations.”

Recommendation 4 - Final Report May 2002
G10 High Level Group on Medicines

In an effort to promote the use of generic medicines at national level, governments are enacting more decisive measures to encourage doctors to prescribe generic medicines, pharmacists to dispense generics, and consumers to recognise their value and to accept them. In many instances, competitive pricing structures are also being established to promote generics.

Ten Key Measures ...

at national level for increasing generic availability

At the G10 European Workshop on Generic Medicines, organised jointly by the Portuguese medicine agency (INFARMED) and the EGA in February 2003 in Lisbon, the following 10 key measures for stimulating generic availability were recommended for implementation at national level.

  • Educating doctors to use generic medicines and, where appropriate, the INN.
  • Assisting doctors in understanding the economic implications of prescription decisions.
  • Increasing the use of electronic prescribing.
  • Creating substitution lists.
  • Increasing incentives for generic dispensing and substitution (regarded as particularly important in systems where doctors are not economically sensitive).
  • Improving consumer awareness of generic quality and availability.
  • Increasing pharmacoeconomic evaluation of new products in comparison with existing products.
  • Establishing generic-oriented reimbursement and health insurance systems.
  • Adopting reference pricing and free pricing systems instead of controlled price systems.
  • Reducing the time delay between receiving market authorisation for a generic product and gaining pricing, reimbursement and/or substitution status.

For further details on the Workshop Recommendations, please refer to the EGA Press Release of 10 February 2003: “G10 Workshop Identifies Key Measures to Stimulate Generics.”


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