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Foreign Pharma Takes Simmering Price Concerns To New Korea Govt

Executive Summary

Amid an escalating tussle with the health ministry over the level of South Korean drug prices, foreign pharma firms operating in the country are now proposing the launch of a new joint study on the issue with the incoming government.

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New South Korean President Moon Jae-in appears likely to continue to nurture the pharma and biotech industries by generally favorable policies such as improving the domestic drug pricing system to aid the global market entry of locally-originated novel drugs, and looks set to consider industry proposals for a new government R&D ‘control tower’.

Korean Pro-Innovation Pricing Steps Draw Mixed Responses

Amid pharma industry’s repeated calls to improve the drug pricing system and properly reflect R&D cost of novel drugs, South Korea released steps that include hiking prices of “global innovative novel drugs” and biomedicines. Response is mixed, with foreign pharmas complaining the steps focus mainly on domestically developed drugs.

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