Drug price in US: after Allergan and Novo, J&J contributes to the debate

WSJ reported that Johnson & Johnson will issue a report next month about the price increase for its products in the US and the average price after discounts. The initiative is aimed at demonstrating the company’s responsible approach to this aspect of drug commercialization. J&J has informed that about 2/3 of its sales growth comes from selling more drugs, rather than raising their prices. The decision to publish the analysis originates from a public debate which has been ongoing for several months in the US and has led other companies, first and foremost Allergan and Novo Nordisk, to take decisive action so as to raise awareness about the issue among all drugmakers. Specifically, the two companies have pledged to limit increases in the price of their drugs to less than 10% a year—a rate, however, still above inflation. (Source Seeking Alpha)