The Biosimilars Council, a division of the Association for Accessible Medicines (previously the Generic Pharmaceutical Association), filed an amicus brief with the Supreme Court arguing that the biologic manufacturers should not get an additional 6 months of market exclusivity beyond the current 12 years. Sandoz received FDA approval of filgrastim-sndz (Zarxio), a biosimilar of Amgen’s reference filgrastim Neupogen, in March 2015.
The brief is in advance of the Court’s April 26th hearing of oral arguments for the dispute between Sandoz and Amgen over whether a Federal Circuit Court ruled properly in granting an additional 6 months of exclusivity to biologic sponsors based on a provision of the Biologics Price Competition and Innovation Act of 2009 (BPCIA). The Biosimilars Council noted that Congress gave sponsors a period of exclusivity that is 12 years and 12 years only, extendable only based on pediatric research: “No one referred to the period as 12 1/2 years, as respondents would have it.”
Under the BPCIA, biosimilar applicants must provide notice to the reference product sponsor no later than 180 days before the date of the first commercial marketing of the biological product. Sandoz argues that the Federal Circuit “turned this mere notice provision into a grant of 180 days of additional exclusivity for all biological products beyond the exclusivity period Congress expressly provided—delaying the launch of all future biosimilars by six months.”
The Biosimilars Council argues that the notice allows patent litigation to precede a biosimilar’s launch, not to “make the parties wait for a ‘fully-crystallized controversy’ before litigation begins.”
The additional 6 months of exclusivity would translate into a huge loss of potential cost savings for patients and payers. The brief states, “For an individual Medicare Part B beneficiary responsible for thousands of dollars per year in cost-sharing payments for a biologic drug that costs $50,000 or even $200,000 per year, or for a patient with private insurance and similar cost-sharing obligations, the six-month savings could mean the difference between selecting and forgoing much-needed therapies for serious illnesses.” Sandoz believes that the additional exclusivity period will shift billions of dollars from patients, federal programs, and insurance premiums over to biologic sponsors.
For manufacturers of these biosimilars, too, the extra 6 months of market exclusivity is a very significant issue, because developing and manufacturing biosimilars is particularly costly and time consuming (an average cost of $100 million and $200 million, over a period of 8 to 10 years), on top of the $250 million to $1 billion investment required for companies to build, equip, and qualify manufacturing facilities. “A further delay before companies can begin to recover their substantial investment is likely to shrink the universe of potential candidates still further,” the brief adds.
However, the Biosimilars Council said the Federal Circuit Court was correct to hold that when a biosimilar applicant decides not to provide its confidential information to a biologic sponsor, the sponsor’s sole remedy is the one set out in the statute, which is a patent infringement action. Just last week, Genentech filed a lawsuit against Amgen for withholding this information. The United States has the world’s longest period of exclusivity for biologics. Europe has 10 years; Canada, 8; and other countries (Australia, New Zealand, Japan, and South Korea) have 5 or 6 years of market exclusivity.
Boosting Health Care Sustainability: The Role of Biosimilars in Latin America
November 21st 2024Biosimilars could improve access to biologic treatments and health care sustainability in Latin America, but their adoption is hindered by misconceptions, regulatory gaps, and weak pharmacovigilance, requiring targeted education and stronger regulations.
Biosimilars in America: Overcoming Barriers and Maximizing Impact
July 21st 2024Join us as we explore the complexities of the US biosimilars market, discussing legislative influences, payer and provider adoption factors, and strategies to overcome industry challenges with expert insights from Kyle Noonan, PharmD, MS, value & access strategy manager at Cencora.
Can Global Policies to Boost Biosimilar Adoption Work in the US?
November 17th 2024On this special episode of Not So Different honoring Global Biosimilars Week, Craig Burton, executive director of the Biosimilars Council, explores how global policies—from incentives to health equity strategies—could boost biosimilar adoption in the US.
Exploring the Biosimilar Horizon: Julie Reed's Predictions for 2024
February 18th 2024On this episode of Not So Different, Julie Reed, executive director of the Biosimilars Forum, returns to discuss her predictions for the biosimilar industry for 2024 and beyond as well as the impact that the Forum's 4 new members will have on the organization's mission.
Challenges, Obstacles, and Future Directions for Anti-TNF Biosimilars in IBD
November 9th 2024A review article on tumor necrosis factor (TNF)-α inhibitors in inflammatory bowel disease (IBD) outlined current use of anti-TNF originators and biosimilars, their efficacy and safety, the benefits and challenges of biosimilars, and the future of biosimilars in IBD.
Skyrizi Overtakes Humira: “Product Hopping” Leaves Biosimilar Market in Limbo
November 7th 2024For the first time, Skyrizi (risankizumab-rzaa) has replaced Humira (reference adalimumab) as AbbVie’s sales driver, largely due to companies encouraging “product hopping” to avoid competition, creating concerns for the sustainability of the burgeoning adalimumab biosimilar market.