Navigation Links
R&D Spending by U.S. Biopharmaceutical Companies Reaches Record $58.8 Billion in 2007
Date:3/24/2008

WASHINGTON, March 24 /PRNewswire-USNewswire/ -- America's pharmaceutical and biotechnology research companies invested a record $58.8 billion last year in the research and development of new life-changing medicines and vaccines -- an increase of nearly $3 billion from 2006, according to analyses by the Pharmaceutical Research and Manufacturers of America (PhRMA) and Burrill & Company. The release of the report coincides with PhRMA's 50th anniversary, which it observes today.

This record R&D investment reflects the continued commitment of America's pharmaceutical research companies to lead the world in the pursuit of new, life-saving and life-enhancing medicines.

PhRMA-member companies alone spent an estimated $44.5 billion on pharmaceutical R&D last year -- up from the previous record of $43 billion in 2006, according to the PhRMA survey. The Burrill & Company analysis shows that non-PhRMA pharmaceutical research companies in the United States spent an estimated $14.3 billion on R&D last year, compared with $12.2 billion in 2006.

Investment in research and development by America's pharmaceutical research companies grew modestly last year, despite a challenging economic environment and a continuing sharp deceleration in drug spending growth. Although the rate of R&D growth was slower than in prior years, research spending as a percentage of sales remained high. Over the past seven years, America's pharmaceutical research companies have consistently invested around 18 percent of sales on R&D activities.

As in past years, there are an increasing number of potential new drugs entering clinical testing. Today, there are more than 2,700 medicines in development in the U.S. for nearly 4,600 different indications. Five years ago, there were about 2,000 medicines in development.

U.S. pharmaceutical companies' dedication to research has been observed by many independent, objective experts. For instance, the nonpartisan Congressional Budget Office (CBO) stated in a recent report: "The pharmaceutical industry is one of the most research-intensive industries in the United States. Pharmaceutical firms invest as much as five times more in research and development, relative to their sales, than the average U.S. manufacturing firm."

Importantly, this investment has produced results. According to CBO, "Many examples exist of major therapeutic gains achieved by the industry in recent years... [A]necdotal and statistical evidence suggests that the rapid increases that have been observed in drug-related R&D spending have been accompanied by major therapeutic gains in available drug treatments."

"America's pharmaceutical and biotechnology research companies continue to pave the way for the development of future treatments and cures," said PhRMA President and CEO Billy Tauzin. "Simply put, R&D is the lifeblood of pharmaceutical research companies. Last year's investment builds on over 25 years of growth in R&D spending as our researchers continue the search for new and improved therapies to tackle a wide range of diseases and conditions, such as cancer, heart disease, HIV/AIDS and Alzheimer's."

The current pipeline includes more than 600 medicines to treat cancer, over 300 specific to rare diseases and more than 275 medicines for heart disease and stroke. This activity dwarfs the pipelines in other parts of the world, such as Europe and Japan, partly reflecting existing policies in the U.S. that foster innovation.

"The preservation and strengthening of these policies -- including our market-based health care system, incentives for research and strong intellectual property rights -- are critical if we as a nation are serious about maintaining our leadership in pharmaceutical R&D," said Tauzin. "Patients in the U.S. and around the world deserve no less."

The Pharmaceutical Research and Manufacturers of America (PhRMA) represents the country's leading pharmaceutical research and biotechnology companies, which are devoted to inventing medicines that allow patients to live longer, healthier, and more productive lives. PhRMA companies are leading the way in the search for new cures. PhRMA members alone invested an estimated $44.5 billion in 2007 in discovering and developing new medicines. Industry-wide research and investment reached a record $58.8 billion in 2007.

PhRMA Internet Address: http://www.phrma.org

For information on stories of hope and survival, visit: http://www.sharingmiracles.com/

For information on how innovative medicines save lives, visit: http://www.innovation.org

For information on the Partnership for Prescription Assistance, visit: http://www.pparx.org

For information on the dangers of imported drugs, visit: http://www.buysafedrugs.info


'/>"/>
SOURCE Pharmaceutical Research and Manufacturers of America
Copyright©2008 PR Newswire.
All rights reserved

Related biology technology :

1. China Biopharmaceuticals Holdings Announces Second Quarter 2007 Financial Results
2. XTL Biopharmaceuticals Announces Financial Results for the Six Months Ended June 30, 2007
3. Nabi Biopharmaceuticals to Present at Upcoming Industry Conferences
4. XTL Biopharmaceuticals Announces Presentation of Novel Pre-Clinical Inhibitors of Hepatitis C at an Upcoming International Scientific Conference
5. XTL Biopharmaceuticals Initiates Phase IIb Clinical Trial of Bicifadine for the Treatment of Diabetic Neuropathic Pain
6. Nabi Biopharmaceuticals Announces Sale of Nabi Biologics to Biotest AG
7. Keryx Biopharmaceuticals to Present at Bank of America Investment Conference
8. Morria Biopharmaceuticals Plc Announces Appointment of Dr. Rosemary Mazanet as Interim Chief Executive Officer
9. Keryx Biopharmaceuticals, Inc. Announces Appointment of Michael P. Tarnok to Board of Directors
10. Morria Biopharmaceuticals Plc Appoints Dr. Johnson Lau and Dr. David Sidransky to Board of Directors
11. XTL Biopharmaceuticals Ltd. AGM / EGM Postponed Until October 2, 2007
Post Your Comments:
*Name:
*Comment:
*Email:
(Date:10/12/2017)... York, NY (PRWEB) , ... October 12, 2017 ... ... Academy of Sciences today announced the three Winners and six Finalists of the ... are given annually by the Blavatnik Family Foundation and administered by the New ...
(Date:10/12/2017)... ... October 12, 2017 , ... BioMedGPS announces expanded coverage of ... newest module, US Hemostats & Sealants. , SmartTRAK’s US Market for Hemostats and ... synthetic sealants and biologic sealants used in surgical applications. BioMedGPS estimates the market ...
(Date:10/11/2017)... ... October 11, 2017 , ... At its national board ... Suneel I. Sheikh, the co-founder, CEO and chief research scientist of Minnesota-based Advanced ... for membership in ARCS Alumni Hall of Fame . ASTER Labs is ...
(Date:10/11/2017)... ... October 11, 2017 , ... ComplianceOnline’s Medical Device Summit is back for its ... 2018 in San Francisco, CA. The Summit brings together current and former FDA office ... directors and government officials from around the world to address key issues in device ...
Breaking Biology Technology:
(Date:6/30/2017)... , June 30, 2017 Today, ... developer and supplier of face and eye tracking ... Featured Product provider program. "Artificial ... innovative way to monitor a driver,s attentiveness levels ... from being able to detect fatigue and prevent ...
(Date:5/16/2017)... 2017  Veratad Technologies, LLC ( www.veratad.com ), an ... identity verification solutions, announced today they will participate as ... 15 thru May 17, 2017, in Washington ... Center. Identity impacts the lives of ... quickly evolving digital world, defining identity is critical to ...
(Date:4/19/2017)... , April 19, 2017 The ... vendor landscape is marked by the presence of several ... however held by five major players - 3M Cogent, ... companies accounted for nearly 61% of the global military ... companies in the global military biometrics market boast global ...
Breaking Biology News(10 mins):