Healthy Skepticism Library item: 5120

Warning: This library includes all items relevant to health product marketing that we are aware of regardless of quality. Often we do not agree with all or part of the contents.

Publication type: news

NZ R&D 'on the edge of the abyss'
Pharma in Focus ( Australia) 2006 Jun 5
http://www.pharmainfocus.com.au/news.asp?newsid=1177

Notes:

Ralph Faggotter’s Comments:

If the article had been written from a different vantage, it might blame PhRMA for firing a bunch of well trained people, who presumably were productive and loyal, just because the NZ government refuses to let the NZ public get gouged by the pharmaceutical industry.

Full text:

Change PHARMAC or become an R&D backwater is the stark choice facing NZ
an industry-funded report on disinvestment in the shaky isles has said.

The report, entitled Pharmaceutical Research and Development in New
Zealand – On the Brink of the Abyss, was commissioned by Pfizer and
written by Dr Edward Watson of biotechnology and pharmaceutical
consultants, Nazadel Ltd.

It concludes the pharmaceutical industry has almost ceased investment in
NZ research and development because of “PHARMAC and its extremely
restrictive policies of pharmaceutical access”.

The report catalogues a history of disinvestment and withdrawal from the
NZ market by big pharma, starting in 1994 and continuing until 2004 when
GlaxoSmithKline withdrew 85% of its staff and moved clinical research
operations to Australia and Pfizer itself withdrew $40 million in
research funds.

“Increasingly pharmaceutical companies are linking the placement of
clinical research with the prospect of the product in clinical
development being reimbursed in the country. While rhetoric from the
government has been forthcoming there has been no evidence of a change
in the government stance that offers any encouragement to pharmaceutical
companies to reverse these trends and restart their investment in
biomedical programs and partnerships,” Dr Watson said.

Speaking at the Future of Medicines Policy Conference in Wellington last
week, Dr Watson said New Zealand had not attracted its “fair share” of
pharmaceutical research and development.

“The Government has failed to take a broad view of the potential for the
pharmaceutical industry to develop products in New Zealand. While
Ministers frequently talk about the merits of New Zealand having more
smart industries, it has effectively excluded pharmaceuticals from its
much vaunted Growth and Innovation Framework (GIF).

“By leaving the pharmaceutical industry solely to PHARMAC, which has a
very narrow focus, the Government is denying New Zealand the opportunity
to develop a medicines industry,” he said.

Before entering private consultancy, Dr Watson worked as a medical
director for Pharmacia and subsequently for Pfizer Pharmaceuticals
covering Australia and New Zealand.

NZ Health Minister, Pete Hodgson was overseas and unable to respond to
Pharma in Focus enquiries.