The South African Competition Commission is probing Novo Nordisk and Sanofi for anti-competitive practices involving insulin pens. Recent legislation and legislative pressure have prompted significant pricing changes in the insulin market. Despite challenges, companies continue to innovate in insulin delivery systems.
The South African Competition Commission is investigating Novo Nordisk and Sanofi for potential anti-competitive practices regarding their insulin pens. The inquiry focuses on whether the companies are using device patents and proprietary designs to inhibit competition and prevent market entry by other developers. Coordination with local entities from both companies is ongoing.
Recent years have posed significant challenges for the insulin market, primarily due to evolving policies aimed at reducing drug prices. Noteworthy legislation in the U.S., such as the Inflation Reduction Act and the Affordable Insulin Now Act, has been instrumental in decreasing patients’ out-of-pocket costs for insulin. Additionally, lawmaker pressure has compelled companies to follow suit, particularly after Eli Lilly announced a 70% reduction in insulin prices in March 2023.
In the aftermath of these adjustments, Novo discontinued its long-acting insulin product, Levemir, by the end of 2024, whereas Sanofi also ceased production of the pre-mixed insulin product Insuman, primarily affecting the U.K. Market adjustments highlight the tension between pricing strategies and product availability.
Despite these challenges, pharmaceutical companies continue to innovate. Eli Lilly is developing a weekly insulin injection that showcases promising results compared to traditional daily doses. Novo is pursuing a similar venture with its insulin icodec, although recent regulatory setbacks from the FDA have impeded its progress concerning type 1 diabetes.
The investigation into Novo Nordisk and Sanofi reflects ongoing scrutiny in the pharmaceutical sector, as regulatory bodies aim to ensure fair competition, especially in essential markets like insulin. With significant recent price cuts following legislative changes, challenges persist regarding product availability and market strategies. The dual focus on affordability and innovation will be crucial for the future dynamics in the insulin market.
Original Source: www.biospace.com
