All Pain for GAIN: antibiotic incentives not enough to tackle superbugs, say GlobalData analysts

14 March 2013

A mixture of sequestration cuts is hindering the shift of American medicine from treatment to prevention of disease, and could leave US residents vulnerable to the growing threat of infectious diseases, according to analysts from research and consulting firm GlobalData.

From hospital superbugs carbapenem-resistant Enterobacteriaceae (CRE) and methicillin-resistant Staphylococcus aureus (MRSA), to new mutated strains of gonorrhoea, more pathogens are becoming drug-resistant. However, research into new antibiotics and the provision of vaccines is under threat due to budget cuts. For example, the Centers for Disease Control and Prevention (CDC) is expected to see its budget slashed by close to $450 million, or about 8% of its total funding for fiscal year 2013. According to CDC director Tom Frieden, the cuts will compromise the agency’s fundamental ability to protect people from infectious disease outbreaks and epidemics.

Despite the escalating need for novel antibiotics, Big Pharma has been decreasing antibiotic R&D. The expensive, lengthy drug approval process, low prices, short duration of antibiotic therapy and competition from generics has led pharmaceutical companies to shift their focus towards more profitable therapy markets, such as cancer and cholesterol therapeutics.

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