US Spending on Prescription Drugs Increased Moderately in 2011

US spending on prescription drugs increased moderately in 2011 reflecting increased generic-drug incursion and lower spending on prescription drugs. Pfizer retained its number one position of the top company of US prescription drug sales, and the generic-drug company Teva Pharmaceutical moved into the top-five companies of US prescription drug sales.

Total healthcare system spending on medicines in the US reached $320 billion in 2011, up 3.7% in nominal terms or 0.5% on a real-per-capita basis, according to a recent report by the IMS Institute for Healthcare Informatics. Branded medicines spending grew 2.2% on a nominal basis and reflected the impact of $14.9 billion lower spending on products that lost their patent exclusivity. In 2011, spending for brands launched within the past two years was $12.2 billion, compared with $8.5 billion in the year-earlier period. Spending on generic drugs, which now account for 80% percent of dispensed prescriptions, increased $5.6 billion in 2011, according to IMS. Overall spending on medicines continued to be concentrated on traditional small- molecule oral pills dispensed through retail pharmacies, even as specialty drugs and biologics experienced higher growth.

http://www.pharmtech.com/pharmtech/News/US-Spending-on-Prescription-Drugs-Increased-Modera/ArticleStandard/Article/detail/768291?contextCategoryId=35097&ref=25