The Pharmaceutical and Healthcare Association of the Philippines (PHAP), a group of multinational pharma giants operating in the country, expressed confidence that the Philippines could position itself as a regional and competitive hub for biopharmaceutical innovation under the current leadership.

During his first State of the Nation Address, President Ferdinand Marcos Jr. has called for the development of a domestic generic drugs manufacturing and a level playing field in the pharmaceutical industry.

In a statement, PHAP said it fully supports the priority agenda of President Marcos Jr. to foster vibrant competition in the pharmaceutical industry to improve health and spur economic activities in the country.

It will continue working with the Philippine Competition Commission (PCC) to establish an environment conducive to innovation and a level playing field. Already, the PCC said that it has been consistently monitoring and looking into curtailing possible anti-competitive situations, including cartels, that may exist in the different segments of the supply chain of pharmaceutical products.

“PHAP will continue working with the PCC toestablish an environment conducive to innovation and a level playing field for inclusive growth. PHAP Members are governed by a strict Code of Practice and are also covered by foreign laws to ensure integrity in the conduct of businesses,” the statement added.

PHAP also shares the goal of the government to ignite competition in the pharmaceutical industry as the primary means to lower medicine prices. It noted that market dominance of generics by volume to date is driving medicine prices down and providing a broad price range and treatment options to government, physicians, and patients.

Mechanisms to encourage further competition to reduce medicine prices are also in place under the Universal Health Care Act and the National Integrated Cancer Control Act. Price negotiation, pooled procurement, and private sector partnership are mechanisms that must be implemented to drive medicine prices down. Countries with low medicine prices employ a single-payer system where the government negotiates and purchases on behalf of their people.

The group of multinational pharmaceutical giants also vowed that collaborations with the government will persist to ensure the attainment of the President’s directive that medicine supply must be sufficient in the country.

PHA also welcomed the directive of President Marcos dto align health protocols as well as to strengthen cooperation with the private sector to enable full capacity for businesses.

As a science driven industry, PHAP supports the reopening of the economy through the research and development of diagnostics, vaccines and medicines and ensuring that they are available in the country. PHAP Members are also vigorously working with the government for a stable supply of life-saving treatments amidst global challenges. The organization is likewise partnering with the government to help protect frontliners and communities affected by the pandemic, and continues to hold massive information campaign on the value of vaccination.

Since the COVID-19 pandemic, PHAP and its Members have been at the forefront of efforts to make new and life-saving medicines and vaccines available in the country amidst lockdowns, trade restrictions, global demand, and political instabilities such as those in Ukraine and Russia.

Also, the Integrated Roadmap of the Philippine Pharmaceutical Industry (IRPPI) – collectively crafted by the pharmaceutical industry under the leadership of the Department of Trade and Industry – provides the necessary framework to achieve a vibrant and agile pharmaceutical sector. The IRPPI aims, among others, to strengthen and promote the pharmaceutical industry to become a global player in pharmaceutical innovation and access.

“A vibrant biopharmaceutical industry creates benefits beyond health such as employment, investments and revenues for the government that are crucial for the Philippines to achieve its goal of becoming an upper middle-income country by 2024,” the statement concluded.