The Great Italian pharmacy Divide: Why Are Medicines So Expensive?

Italian consumers are increasingly turning to French pharmacies to purchase common medications, driven by significantly lower prices. A recent analysis highlights that certain over-the-counter (OTC) drugs, classified as “band C” in Italy, can cost up to 80% less in France. This price gap has sparked outrage and concern among Italian consumer groups, who are calling for greater transparency and regulation within the pharmaceutical sector.

Price Discrepancies: A Breakdown

The price differences are significant. For example:

• Tachipirina (paracetamol) is reportedly 30.94% cheaper in France.
• Common anti-inflammatory aspirin costs 43.02% less.
• The laxative Laevolac sees a staggering 71.6% price reduction.
• The anti-anxiety medication Tavor (lorazepam) boasts an astonishing 82.49% saving.

These figures represent significant savings for individuals and families, especially those who regularly require these medications.

Root Causes: Beyond Taxation

While differing tax regimes between the two countries might contribute marginally to the price differences, consumer advocates argue that they cannot fully account for such dramatic disparities. The core issue, they contend, lies in the lack of price controls on “band C” medications in Italy. Unlike prescription drugs (band A and B), the prices of these OTC medications are not regulated, allowing pharmaceutical companies to set prices freely.

For some years, in Italy the medicines in band C they have cost “Come gold”.

This lack of oversight has led to a situation where Italian consumers are effectively paying a premium for everyday medications.

Homeopathic Remedies Also Affected

The price inflation isn’t limited to conventional medications. Homeopathic remedies, also popular among Italian consumers, are reportedly 60% to 75% cheaper in France. This further exacerbates the issue, impacting a broader range of healthcare choices.

french perspective: Protecting Public Health Finances

A French pharmacist interviewed shed light on the French government’s approach to drug pricing.For many years, successive French governments have prioritized keeping medication prices low to protect the finances of the social sécurité (the French health service). This proactive approach ensures affordability and accessibility for its citizens.

For example, for a medicine that costs 100 in Europe, in France the price imposed on manufacturers and pharmaceutical companies is about 60-75. A choice dictated above all by the desire to protect the finances of the social sécurité (the French health service).

This strategy,while beneficial for consumers,has resulted in lower profit margins for pharmaceutical companies in France compared to other major markets like Germany and the United Kingdom.

Challenges Facing French Pharmacies

Despite the benefits for consumers, French pharmacies face their own set of challenges. The rise of online pharmacies and the potential entry of major players like Amazon into the online drug market threaten the conventional pharmacy model. Since 2008,over 3,000 pharmacies have closed in France,highlighting the pressures facing the industry.

Italy Seeks Solutions: Reforming Pharmacy Remuneration

In an attempt to address some of the discrepancies and support Italian pharmacies, an agreement has been reached between members of the distribution chain and AIFA (Italian Medicines agency) to redefine pharmacy remuneration. This new system, similar to those in place in countries like Belgium, Germany, Switzerland, and France, aims to provide a fixed share for each drug pack dispensed, along with a reduced percentage share.

This mechanism – comments Federfarma – tends to enhance the professional intervention of the pharmacy in the dispensation of all medicines, from those in a patent expired at low price to the most expensive innovative ones.

The hope is that this reform will help stabilize the Italian pharmacy sector and ensure that pharmacists are adequately compensated for their expertise and services.