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Decrease in the Price of Medications Noted Worldwide

Posted by on Thursday, January 28, 2010, 6:14
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Decrease in the prize of medications is being noted worldwide. Previously before 5 years, there use to be only increase in the price of the medicines, but after that as the recession started to begin the decrease in the medication prices started. Recession has really made every business suffer the loss. Along with the recession, the generic drugs entry in the market and kind of response they received has affected the drug market a lot. To cop with the competition from these low cost drugs even the branded drug manufacturers needed to cut down the prices. This is what revolutionized the entire pharmacy market, thus leading to the reduction in the prices of the medicines. In the last financial year about 11% decrease in the prices of the medication is being noted.

In US market the condition is getting worst as it is the country that is most affected by the recession. Pharmacy market has suffered a lot in last 5 years, many jobs has been cut and the financial crises is being felt everywhere. Some people have committed suicide due to the financial crises. US pharmacy market is being mainly affected due to the outburst of the online pharmacies from the other countries. The US people are not purchasing the medicines from any shops as they get their the branded drugs that are very expensive and are not affordable to them. So, they make a purchase from the online pharmacy. They get the medicines at very reasonable rates on internet drug stores that adversely affect the US pharmacy market because online pharmacies are basically from the other countries than US.

In European nations also the same condition like that of the US market is being noted and people are turning towards the pharmacy market. European nationals were not before so much attracted to the generic drugs, but during the last 5 years due to the recession they were not able to go for the branded drugs and certainly they went for the low cost drugs drugs. This affected the sale of the branded drugs. The branded drug manufacturer has to reduce the prices in order to cope up with the generic drug prices. Decrease in the price of medication is being noted every year in the European nations.

Decrease in the price of medication is being also the result of the too expensive pricing of the generic drugs previously. Branded drug manufacturers are itself the reason for the loss being observed in the pharmaceutical industry. It were the high prices of the branded drugs made customers to search for the other option of the medicines that are available for the reasonable rates. When there is a demand business man tries to satisfy it. So, the generic drug manufacturer used this opportunity to reach the maximum customers.

In the last 5 years about 27% of the decrease is being noted in the prices of the medicines. This is up course beneficial for the customers. Even generic drugs manufacturers are earning better profit. The only problem is with the branded drug manufacturers who are suffering the heavy loses. This way recession is being at least being beneficial to the customers in one or the other way. However, as per the market survey, the recession is going to collide in few months, but the prices of the medication would take some time to get increased. This is again going to benefit the customer. Even the online pharmacy prices will get slashed in few days due to the taxes cut on the medicines. So, this way the decrease in the prize of mediation is noted worldwide.