By Moeller IP Advisors
Research and production costs for developing pharmaceuticals are extremely high, especially for biological drugs. Biopharmaceutical companies can expect to spend up to US$ 1.3 billion for developing and testing a single drug, and the costs are constantly increasing.
The expiration of the exclusive rights conferred by patents causes a further profit loss – which has been estimated around US$ 70 billion between 2010 and 2024.
Pharmaceutical companies have developed a way to extend the profitability of patented drugs: they test molecules whose patents are about to expire or have expired and develop biosimilar drugs at a much lower price than the original pharmaceutical.
Biosimilars share an identical protein sequence and common amino acid sequence with the originals and have similar characteristics, efficacy and safety. They can be developed and tested quickly at a fraction of the cost, they need around 6 to 9 years of clinical trials. In some cases, biosimilars can also be patented.
Argentina’s biopharmaceutical industry
In the 80’s, Argentina was a leading initiator in South America for biotechnological research. According to a report of the World Bank, Argentina’s investment in R&D of new pharmaceuticals is still among the highest in the region, …Read More