With 323 medicines in short supply, U.S. drug shortages have risen to their highest level since the American Society of Health-System Pharmacists began tracking in 2001.
Why it matters: This high-water mark should energize efforts in Congress and federal agencies to address the broken market around what are often critical generic drugs, the organization says.
The Biden administration last week issued a drug-shortage plan that called on Congress to pass legislation that would reward hospitals for maintaining an adequate supply of key drugs, among other measures.
As a “first step,” Medicare yesterday proposed incentives for roughly 500 small hospitals to establish and maintain a six-month buffer stock of essential medicines.
The big picture: Many of the issues behind shortages are tied to low prices for generics that leave manufacturers competing on price.
“It’s been a race to the bottom. We need more transparency around quality so that buyers have a reason to not chase the lowest price,” said Michael Ganio, senior director at the ASHP.
Drugmakers that can demonstrate safer, higher-quality manufacturing practices should earn a higher price, he said.
Manufacturing quality concerns in particular have fueled shortages of chemotherapy drugs and some antibiotics.
Between the lines: Other factors are also driving drug shortages.
Controlled substances, such as pain and sedation medications, account for 12% of active shortages, which are tied to recent legal settlements and Drug Enforcement Administration changes to production limits, per ASHP.
Not surprisingly, the blockbuster category of anti-obesity drugs known as GLP-1s are in shortage largely because of outsized demand.
That’s also the case for ADHD drugs and hormone therapies used in gender-affirming care.
