A

mid rising concern over prescription drug pricing, Senator Chuck Grassley (R-Iowa) has begun an investigation into whether drug makers are exploiting loopholes to widen the market for so-called orphan drugs.

The move comes after accelerating scrutiny of this lucrative corner of the pharmaceutical market. Under the Orphan Drug Act, which was passed in 1983, the Food and Drug Administration began approving medicines to treat rare diseases that affect fewer than 200,000 people. The incentives to fill these unmet medical needs include tax credits and seven years of exclusive marketing rights.

Unlock this article by subscribing to STAT Plus today. Try it FREE for 30 days and cancel anytime!

SUBSCRIBE TODAY

What is it?

STAT Plus is a premium subscription that delivers daily market-moving biopharma coverage and in-depth science reporting from a team with decades of industry experience.

What's included?

  • Authoritative biopharma coverage and analysis, interviews with industry pioneers, policy analysis, and first looks at cutting edge laboratories and early stage research
  • Subscriber-only networking events and panel discussions across the country
  • Monthly subscriber-only live chats with our reporters and experts in the field
  • Discounted tickets to industry events and early-bird access to industry reports

Leave a Comment

Please enter your name.
Please enter a comment.

  • ODA is racket of PhRMA and politicians who are on sale.
    PhRMA should not feel bad. They are the ones who bought the legislators to benefit from every corner. Since 1983 when the ODA was passed 5,732 drugs have been requested orphan drug status. 3,986 drugs were given the status and 599 have been approved. In recent years most of them are priced in six digits. Whole idea is to make money and fill their pockets. Poor patient is going to die sooner or later. Who cares if that happens. Normal process of living.
    Point is make drugs affordable but not at the expense of patient and their family.

Sign up for our Morning Rounds newsletter

Your daily dose of what’s new in health and medicine.

Privacy Policy