RT-NEW YORK, NY, Jun 07, 2011 (MARKETWIRE via COMTEX) -- The biotechnology sector is
bracing for change this year as a flurry of "biosimilar" or "biogeneric" drugs
hit the market. "Biotech drugs are among the world's most expensive," said Sidney
Wolfe, director of the health research group at Public Citizen. "They have been
good, but they have been expensive, so it is extraordinarily important to get
biogenerics as quickly as possible."
Under the US healthcare reform law passed last year, brand-name biotech drugs
were granted a 12-year period of market exclusivity, after which generic versions
can be sold. They range from relatively simple molecules like insulin to complex
antibodies used to treat cancer. Biosimilars had been unavailable in the US
because they were not part of the 1984 Hatch-Waxman Act that allowed for cheaper
generic versions of chemically derived drugs.
Chris Viebacher, CEO at French drugmaker Sanofi explains that some biotech drugs
are more vulnerable to competition than others. "It is going to be interesting to
see, particularly over the next five years, who actually decides to do what in
terms of biosimilars," he added.
According to Global Industry Analysts, the global market for biosimilars is
forecast to reach US$4.8 billion by the year 2015 driven by patent expiries of
key biological drugs, cost containment measures from governments, aging
population, and supporting legislations. Europe represents the largest affiliate
regional market for biosimilars worldwide, as stated by the report. Nearly eight
years ago the European Union passed legislation creating a mechanism for the
approval of generic biotech drugs.
Biotech firm Human Genome Sciences recently received European approval of human
use for their Lupus Drug, Benlysta-belimumab.
The Bedford Report examines the outlook for
companies in the Healthcare Sector and provides investment research on Human
Genome Sciences, Inc. (HGSI) and YM BioSciences, Inc. (YMI). Access to the full
company reports can be found at:
bedfordreport.com
The Bedford Report releases stock research on the Healthcare Sector so investors
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