Medicine prices
The trend in medicine prices differs from the normal price development of other consumer goods. Usually, the prices of goods and services tend to increase in the long term. The trend in medicine prices is generally reverse. The price go down on average.
The Wholesale price index 2000-2010.pdf
The pharmaceutical industry and wholesalers get a good 60% of each euro for medicines sold. Pharmacies account for about 24% and the state about 1—14% in the form of VAT and the tax-like pharmacy fee.
In terms of pharmaceutical wholesale prices, Finland is one of the cheapest countries in Europe. To enter a medicine into the health insurance reimbursement system, the company must apply for the reasonable wholesale price from the Pharmaceuticals Pricing Board PPB. The prices adopted by PPB are temporary, and once the time is up, the price is normally decreased. Generic substitution and the reference prices system have brought about tougher price competition on the medicines market. The competition is also reflected in the prices of medicines sold to hospitals as well as those excluded from the reimbursement system.