Benefits from parallel distribution
Parallel distribution creates savings:
- It provides original, high quality and safe medicines at a lower cost. These direct savings are a measurable relief of the cost burden carried by health insurance systems and patients.
- It provides both indirect savings for social health insurance systems and consumers by effectively curbing overall price increases in the pharmaceutical sector.
- It offers a European relief mechanism to funding deficits in national health care systems
Parallel distribution fosters competition:
- It provides the only form of competition for patented products, utilizing the price differences in different markets created by the original manufacturer himself.
- It accelerates the integration of the internal market and increases trade within the EU and EEA
- It helps regulators to avoid implementing more interventionist or market-distorting cost-containment measures
- It gives wholesalers, pharmacists and patients a real choice
- It can provide alternative supply sources in case of shortages
Parallel distribution builds growth:
- It has created thousands of new businesses and jobs in Europe, often in economically deprived regionsIt boosts the infrastructure development for production and distribution of pharmaceuticals in the countries of supply, as well as increasing their exportsIt generates additional tax revenues in Europe and increases the effectiveness of the internal market