US FTC plans study on the competitive impacts of authorized generics

The US Federal Trade Commission has issued a statement about its intention to conduct a study of the use, and likely short- and long-term competitive effects, of authorized generics in the prescription drug marketplace.

An authorized generic is a formulation that is chemically identical to a particular brand-name drug, where the originator's manufacturer has authorized it to be marketed in a generic version. This study continues the FTC's research and development efforts to identify and report on marketplace trends and developments that affect the price of prescription drugs.

Comments on the Commission's Authorized Generic Drug Study will be accepted until June 5. The FTC has also authorized its staff to use compulsory process to collect the information needed for this research from approximately 80 brand name drug manufacturers, 10 authorized generics companies and 100 independent generic manufacturers.