The recent plunge in the share prices of many bio-pharmaceutical companies in Taiwan was triggered by the dismal progress in new drug launches. However, there is good news for the investors and drug companies as the NHIA announced to speed up the review of the applications of NHI prices. The process will be shortened by 3 months, from 9 months to 6 months. This will make a huge difference to drug companies’ return on investment.
Patients appreciate the NHI’s convenience and easy access of drugs. However, for drug companies, pushing a new drug into the market is not as straight forward. The tedious application process proves an obstacle. The NHIA’s announcement of shortening the review process for applications of NHI prices by 3 months gives drug companies a real boost.
Su Jing-Chia, a member of the NHI New Drug Reimbursement Committee, said that the faster a new drug is approved, the sooner a drug company can recoup its investment.
Patients with severe conditions are always worried about having to pay for treatments not available under the NHI. For drug companies, such worry is as real. Without NHI reimbursement, it will take longer to reach the breakeven point.
Su Jing-Chia said that if a new drug is based on the modification of a licensed drug, the review process should be faster.
New drug developers are concerned about delay in their R&D schedule. A faster review process will certainly benefit not only drug companies but also patients.