Transcript Slide 1

Mr David Gallagher, President
The Value of Scientific and Medical Innovation
www.ipha.ie
Medical innovation in Ireland delivers benefits to patients
as well to Ireland’s economy
•In 2010, Ireland invested 1.79% of Gross
Domestic Product (GDP) in Research and
Development (R&D) activities, which falls short
of the European (EU27) average of 2 % and is
significantly less than the European leader,
Finland (3.87%)1
2
•However, Ireland is the largest net exporter of
medicines in the world3
•Pharmaceuticals, along with chemicals and
medical products, account for 50% of Irish
exports, as well as spurring innovation through
manufacturing and R&D-based activities
•These facets are all critical to Ireland’s drive
toward a 'Smart Economy' while also
contributing significantly to the country’s health
and well-being
1Eurostat
(2011), 2WHO (2006), 3IPHA (2011)
www.ipha.ie
The pharmaceutical sector is a major employer and
helps drive demand for higher education
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Construction
Wholesale & Retail Trade
2011
2010
2009
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Professional, scientific
and technical activities
Human health and social
work activities
2011
2010
2009
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2007
Total in Employment
2006
• The pharmaceutical sector has in the past been
more resilient than other sectors during
economically challenging times, translating into
increased job retention
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2005
• Ireland was ranked first for skilled labour and
second for the productivity of its workforce in the
Institute for Management Development (IMD)
World Competitiveness Yearbook* 20113
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2005
• The pharmaceutical industry directly employed 25
300 people as well as over 24 500 people in
related sectors2
Ireland Employment Data1
000s
• Employment figures from the Central Statistics
Office Ireland show that activities related to the
pharmaceutical and life sciences sectors as shown
in the graphic opposite (professional, scientific, and
technical activities) have fared well through the
economic downturn1
• Survey results by GradIreland.com show that the best paid graduate jobs in 2010 were in engineering &
manufacturing4
* The IMD World Competitiveness Yearbook is the leading annual report on the competitiveness of nations and benchmarks the performance of 59 countries based on 331 criteria
measuring different facets of competitiveness.
1CSO
(2011), 2IBEC (2011), 3IMD (2011), 4gradireland.com (2011)
www.ipha.ie
Innovative medicines have contributed to an increase in
life expectancy
• 40%-59% of the total increase in life expectancy across 52 countries,
including Ireland, is attributable to innovative medicine launches.
• Life expectancy is continuing to increase as a result of progress in the
treatment and prevention of cardiovascular disease and cancer1
Increase in life expectancy (years)
2.25
Total increase
1.96
Increase due to new medicines
2
1.82
1.65
1.75
1.53
1.5
1.37
1.21
1.25
1.07
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0.25
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0.30 0.38
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0.12 0.21
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0.60 0.62 0.66
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0.74
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40%-59% of
the increase in
life expectancy
is due to
innovative
medicine1
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1Lichtenberg
1987
(2005)
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www.ipha.ie
Impact of innovation within
therapeutic areas
www.ipha.ie
Diabetes
Heart Disease
 Pharmaceutical intervention plays a
major role in the decline in coronary
heart disease mortality in Ireland
 Mortality from acute myocardial
infarction (AMI) in Ireland decreased
by 45% between 1997 and 20092
Diseases of the circulatory system1
Trends in age standardised death rates (Ireland data)
 The incidence of diabetes in Ireland is
increasing due to lifestyle choices and an
ageing population
 In 2005, it was estimated that 4.7% of the
Irish population suffered from diabetes, 8590% of whom have type 2 diabetes (T2D)3
 The WHO estimated that in 2000 there
were 86 000 cases of diabetes in Ireland.
This figure is expected to double to 157 000
by 20305
Diabetes prevalence will continue to rise in Ireland4
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0
2006
1DOHC
(2011), 2Eurostat (2010),3INIsPHO (2005), 4IPH (2010), 5WHO (2011)
2008
2010
2012
2014
2016
2018
2020
2022
www.ipha.ie
Cancer
 Cancer mortality in Ireland is
decreasing despite its increasing
incidence
 The most prevalent invasive
cancers are prostate cancer in
males and breast cancer in
females, accounting for 30% and
32% of cancers respectively2
Trends in age standardised all-cancer mortality rates 1974-2007 1
1DOHC
(2008), 3NCRI (2011), 3MPI (2011)
 Personalised medicine specifically tailors
medical care to that individual’s need
based on their unique genetic profile to
produce greater efficacy with fewer side
effects and potentially reduce costs
 Oncology is the therapeutic area with the
highest number of personalised
medicines on the market and in the
pipeline
 Other areas of significant focus for
personalised medicine include
cardiovascular, central nervous system,
and immunologic therapies. Between
2006 and 2010, pharma company
investment in personalised medicine
research increased by a mean of 75%,
with an additional increase of 53%
predicted by 20153
www.ipha.ie
The impact of innovations in medicine can be seen across
all therapeutic areas
Therapeutic Area
Impact and Benefits
Heart disease
Increased survival; treatments contributing to both the prevention
and management of the disease
Diabetes
Delayed onset of complications; improved disease management
and patient outcomes
Cancer
Reduction in mortality despite increase in incidence; evolution of
personalised medicine offers improved efficacy
Infectious diseases
Treatment and prevention of diseases resulting in decreased
incidence of several more common diseases
Rheumatoid arthritis
Inhibition of disease progression; reduced morbidity
Orphan diseases
Enhanced survival; addressing unmet need of small patient
populations
Mental health
Newer medications offer fewer unwanted side effects and
reduced rates of patients residing in psychiatric units
www.ipha.ie
Innovative medicines and their
importance for Ireland
www.ipha.ie
Pharmaceutical innovation provides many patient benefits and is
having a significant impact on public health in Ireland
Prevention of illness
Reduced disease
progression and diseaserelated events
Inhibition and reversal of
disease-related damage
Pharmaceutical
innovation
Increased therapeutic
options
Improved public
health and
increased life
expectancy
Reduced adverse events
Social benefits and
improved quality of life
Increased survival
Continued pharmaceutical innovation is vital for the continued improvement of
public health
www.ipha.ie
However, access to innovative therapies is not always
optimal, reducing the benefits associated with innovation
• The level of uptake of novel therapies and the time period over which
drugs become available to patients are important factors in achieving
the benefits of innovation
• Availability: out of 84 agents that received EU market authorisation
between 2007 and 2009, 64% (54) were made available to patients
in Ireland1
• Access: in Ireland there is an average of 157 days between
approval and market access in 2007-9, though this has become
substantially more difficult recently, increasing by over 50% since
2006-8 (101 days) 1
• Increasing number of innovative medicines currently not being
reimbursed
1,2EFPIA
(2009)
www.ipha.ie
The Irish government has developed a framework aimed at
building Ireland’s Smart Economy
• Innovation is a principle ingredient in building a
smart economy along with solid enterprise
• Four types of capital must operate in balance
with each other as the foundation of innovation
– human, environmental, social, and physical 1
Future of Innovation
• Innovation is the fundamental component of a
smart economy through ideas that are
transformed into value-generating goods and
services
• A key action area in the government’s Smart
Growth Action Plan is to build the “ideas”
economy to establish Ireland as the Innovation
Island. One of the forces behind this is the
export sector, with activities ranging from R&D
to manufacturing1
“...Ireland must move up the value chain and assert itself not only as an open enterprise economy with a positive
environment for FDI [foreign direct investment], but also as an open entrepreneurial economy with significant
comparative advantages.” 1www.taoiseach.gov.ie
www.ipha.ie
Action Plan For Jobs
Department of Health: “The Plan recognises the need for
genuine collaboration between lifesciences firms and the
healthcare system “to deliver economic growth, improved patient
outcomes and lower healthcare services costs”. Quality health
services, a vibrant health research system and economic
prosperity are inextricably linked. Science technology and
innovation all play an important role in realising improved health
outcomes for the population (including the planning for, and
delivery of, health systems and services) and more broadly for
meeting major societal challenges.”
www.ipha.ie