Australia's GBMA says adding biosimilar Inflectra on PBS will lead to savings

Australia’s Generic and Biosimilar Medicines Association (GBMA) on Tuesday welcomed the inclusion of Inflectra (infliximab), the first monoclonal antibody biosimilar, on the Pharmaceutical Benefits Scheme (PBS) saying the move will deliver immediate savings to the federal government.

Inflectra, from Pfizer (NYSE: PFE) subsidiary Hospira, will replace the biologic Remicade (infliximab) from Merck & Co (NYSE: MRK). The industry body added that the full potential of this and other biosimilar medicines relies on market uptake drivers aimed at prescribers, pharmacists and patients.

GBMA chief executive, Belinda Wood, said: “Biosimilars reduce the cost of medicines to the health system in two ways. Firstly, through an instant 16% price reduction upon PBS listing, and then over time as a result of competition and price disclosure. With brand-name biological medicines accounting for A$2.3 billion ($1.65 billion), or around 25% of annual PBS expenditure, the increased availability and use of biosimilars will deliver significant savings to the PBS.”