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The Evolution of HTA in Emerging Markets Health-Care ... - TREE

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OHE Consult<strong>in</strong>g Report for PhRMA<br />

5 January 2011<br />

9.4 Issues for PhRMA <strong>in</strong> develop<strong>in</strong>g public policy positions<br />

<strong>The</strong> PhRMA, EFPIA, and IFPMA pr<strong>in</strong>ciples for good practice <strong>in</strong> <strong>HTA</strong> and Evidence-­‐based Medic<strong>in</strong>e<br />

provide a consistent approach to “micro <strong>HTA</strong>” and cont<strong>in</strong>ue to provide a solid framework for<br />

approach<strong>in</strong>g <strong>HTA</strong> issues globally. <strong>The</strong>y are <strong>in</strong>tended to be applied <strong>in</strong> a reactive way – <strong>in</strong> the event <strong>of</strong><br />

a payer and/or government propos<strong>in</strong>g the use <strong>of</strong> “micro <strong>HTA</strong>”.<br />

We have sought to develop a framework for putt<strong>in</strong>g such a position <strong>in</strong>to the context <strong>of</strong> health care<br />

system development and <strong>HTA</strong> evolution. Our key po<strong>in</strong>ts are that <strong>HTA</strong> is resource <strong>in</strong>tensive and that<br />

an appropriate <strong>in</strong>itial focus for skilled people may well be on “macro <strong>HTA</strong>” or other health system<br />

issues rather than “micro <strong>HTA</strong>”.<br />

This gives rise to several issues:<br />

<br />

<br />

<br />

As compliance with good <strong>HTA</strong> pr<strong>in</strong>ciples is resource-­‐<strong>in</strong>tensive for governments (and for<br />

<strong>in</strong>dustry), countries may seek to “free ride” on the systems <strong>of</strong> other countries to avoid us<strong>in</strong>g<br />

scarce skills and resources. Indeed, as we have noted earlier, the global public good nature <strong>of</strong><br />

much evidence means that “not re<strong>in</strong>vent<strong>in</strong>g the wheel” can make sense and be efficient.<br />

However, use <strong>of</strong> alternative “low resource” options may be less efficient than an efficient use <strong>of</strong><br />

<strong>HTA</strong>. For example, the use <strong>of</strong> <strong>in</strong>ternational reference pric<strong>in</strong>g to countries at a similar stage <strong>of</strong><br />

<strong>in</strong>come-­‐per-­‐capita and with similar health care systems can make sense if the referenced<br />

countries have used appropriate methods to derive their prices. However, <strong>in</strong>ternational<br />

reference pric<strong>in</strong>g <strong>in</strong> practice can lead <strong>in</strong>dividual country markets to seek lower-­‐than-­‐optimal<br />

price levels not consistent with long-­‐term, global dynamic efficiency (Danzon et al, 2010). <strong>HTA</strong><br />

may therefore be preferable to <strong>in</strong>ternational reference pric<strong>in</strong>g if it is used to assess value <strong>in</strong> a<br />

way that reflects local will<strong>in</strong>gness to pay for health ga<strong>in</strong>;<br />

<strong>The</strong> use <strong>of</strong> therapeutic reference pric<strong>in</strong>g requires less <strong>in</strong>put than <strong>HTA</strong> but can discourage<br />

<strong>in</strong>novation and reduce the likelihood <strong>of</strong> efficient use <strong>of</strong> the product (Drummond et al, 2010). It<br />

saves <strong>in</strong>put resources by assum<strong>in</strong>g medic<strong>in</strong>es are the same <strong>in</strong>stead <strong>of</strong> explor<strong>in</strong>g the appropriate<br />

use <strong>of</strong> different treatments <strong>in</strong> a given therapy area.<br />

This suggests that the <strong>in</strong>dustry be will<strong>in</strong>g to support ‘efficient’ <strong>HTA</strong>, i.e. appropriate to a given<br />

country market and subject to the lessons we have set out <strong>in</strong> 8.1 above.<br />

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