Insulin producer withdraws their products from Greece
Insulin producer withdraws their products from Greece
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Discussion

KANEIT

Original Poster:

2,856 posts

249 months

Saturday 29th May 2010
quotequote all
http://news.bbc.co.uk/1/hi/world/europe/10189367.s...

I think the Greek government wants the supplier to sell them insulin at a reduced rate. The supplier says that would in effect mean they are operating at a loss in Greece and refuses to sell any insulin to them. A very worrying situation.

Discuss!


Stu R

21,659 posts

245 months

Saturday 29th May 2010
quotequote all
Plenty of people make insulin, ok poor phrasing, plenty of manufacturers do. Whilst I believe access to medicine is one of the basic rights, someone has to foot the bill and companies aren't charities - they can sell to whoever they want.

Struggling to believe their profit margin is that slim though

Edited by Stu R on Saturday 29th May 12:50

rpguk

4,516 posts

314 months

Saturday 29th May 2010
quotequote all
It's an emotive subject but the sad reality is that there are plenty of countries that can't afford insulin for their population and it look like Greece might be heading to join that list.

Tsippy

15,078 posts

199 months

Saturday 29th May 2010
quotequote all
I guess the problem is that if they reduce the cost to Greece, every other country will be expecting the same so it would reduce their profits. Easier to say they'd be selling at a loss than to say "We won't be making as much as we do now".


voyds9

8,490 posts

313 months

Saturday 29th May 2010
quotequote all
If I was owed $24.9m I wouldn't be rushing to supply more product at reduced cost.

I think their social responsibility has been more than filled by offering free glucagen.

Durruti

1,023 posts

268 months

Saturday 29th May 2010
quotequote all
The Greeks really are going through the Blackmail 101 playbook in short order aren't they?

What next? - free oil imports or grain or any of the 1001 things that the Greeks are about to find out they cannot afford any more?.

I'd have more sympathy if Greece hadn't just reneged on one of the reforms they promised to make when they were negotiating for the bail-out. But, like most wastrels, as soon as they thought the money was safe in the bank, they carried on business as usual.

The Greek population won't react well to being denied things they are used to having. The rest of the world will not react well to having to pay to keep Greek people in the lifestyle they have become accustomed to.

This dilemma is coming soon to other European countries, perhaps even us.

It'll be interesting to see how it all unravels.

Political Pain

983 posts

198 months

Saturday 29th May 2010
quotequote all
A 33 billion Kr turnover is quite a manufacturing base for Insulin and a fabulous income for what is an essentially simple manufacturing process now. Being owed 33 million euro is not a back breaker in such a situation, it is positioning only, Insulin is a fairly closed manufacturing cartel and it is considered to be overpriced by about 40%, so perhaps there may be a benefit in a bit of defaulting here and there.

dudleybloke

20,553 posts

216 months

Sunday 30th May 2010
quotequote all
i didn't think kebabs had much sugar in?
smile

greygoose

9,668 posts

225 months

Sunday 30th May 2010
quotequote all
dudleybloke said:
i didn't think kebabs had much sugar in?
smile
Have you had the baklava for afters though lick ?

KANEIT

Original Poster:

2,856 posts

249 months

Sunday 30th May 2010
quotequote all
Political Pain said:
A 33 billion Kr turnover is quite a manufacturing base for Insulin and a fabulous income for what is an essentially simple manufacturing process now. Being owed 33 million euro is not a back breaker in such a situation, it is positioning only, Insulin is a fairly closed manufacturing cartel and it is considered to be overpriced by about 40%, so perhaps there may be a benefit in a bit of defaulting here and there.
The pharmaceutical industry appears to be immune to the recession - while other industries cut their margins they don't have to. If they negotiate now it will start an avalanche of price reductions as other buyers take note and demand the same. IMO in an ideal world healthcare and business should never mix but can it be said that state sponsoring would yield such innovative and successful drugs and treatments or offer equal or better value for money?

Mojocvh

16,837 posts

292 months

Sunday 30th May 2010
quotequote all
Whilst agreeing with the general run of the thread I did find that comparing a long term life enhancing/saving (if you don't know what happens to diabetics without insulin look it up) medication with

"The rest of the world will not react well to having to pay to keep Greek people in the lifestyle... "

A bit OFF.

Scraggles

7,619 posts

254 months

Sunday 30th May 2010
quotequote all
diabetic who needs insulin and cant get it ? coma within a day, dead within a few weeks...

GavinPearson

5,715 posts

281 months

Sunday 30th May 2010
quotequote all
Scraggles said:
diabetic who needs insulin and cant get it ? coma within a day, dead within a few weeks...
Exactly. So the Greek government will find an alternative supply or pay the price the manuacturer wants. And the Greek government will make cuts in non-essential areas, not ones which can literally be life or death.

NWTony

3,003 posts

258 months

Sunday 30th May 2010
quotequote all
KANEIT said:
Political Pain said:
A 33 billion Kr turnover is quite a manufacturing base for Insulin and a fabulous income for what is an essentially simple manufacturing process now. Being owed 33 million euro is not a back breaker in such a situation, it is positioning only, Insulin is a fairly closed manufacturing cartel and it is considered to be overpriced by about 40%, so perhaps there may be a benefit in a bit of defaulting here and there.
The pharmaceutical industry appears to be immune to the recession - while other industries cut their margins they don't have to. If they negotiate now it will start an avalanche of price reductions as other buyers take note and demand the same. IMO in an ideal world healthcare and business should never mix but can it be said that state sponsoring would yield such innovative and successful drugs and treatments or offer equal or better value for money?
I work in the industry and you are wrong there have been singing cuts across the board in pharma. Plenty of business shutting, mergers and acquisitions, massive competition from cheapo Indian / Eastern European generics hanging off innovative pharma companies registrations, very hard times (relatively of course)

Mojocvh

16,837 posts

292 months

Sunday 30th May 2010
quotequote all
anonymous said:
[redacted]
Dunno, why don't you ask THEM ?

sinizter

3,348 posts

216 months

Sunday 30th May 2010
quotequote all
I don't see why the company should sell below cost or even at cost just because the Greek government could not take of its state finances.

Political Pain

983 posts

198 months

Sunday 30th May 2010
quotequote all
sinizter said:
I don't see why the company should sell below cost or even at cost just because the Greek government could not take of its state finances.
Insulin is cheap to make, but Novo have the patent on the 'pen' and the additional charge for the 'pen' is what is the real 'hidden' issue here, the syringe type injection is cheap as chips [in comparison] but everybody with Diabetes wants the simplicity of the 'pen' and "I think" that the EU did something in law regarding syringe injections being only allowed as an exception, so effectively the original costs were low, but increased hugely recently.

I am not sure of the facts, just recalling something I read a year or two ago.

So quite prepared to be shot down on this.