FDA proposal would accelerate approval of generic drugs
WASHINGTON, DC--Food and Drug Administration (FDA) Commissioner Margaret A. Hamburg, M.D. announced that the agency had completed its recommendations for three user fee programs that would accelerate the approval process of new pharmaceuticals. If approved, the agency would charge pharmaceutical manufacturers application fees for reviewing traditional drugs, generic drugs, and a new class of generic biotech drugs.
“These final recommendations offer a great example of what can be achieved when the FDA, industry and other stakeholders work together on the same goal,” Commissioner Hamburg said. “At a time of greater budgetary constraint, user fees provide a critical way for leveraging appropriated dollars, ensuring that FDA has the resources needed to conduct reviews in a timely fashion.” She added, “Human drug user fees have revolutionized the drug review process in the United States since they were adopted 20 years ago, allowing the FDA to speed the application review process without compromising the agency’s high standards.”
Under the recommendations, fees paid by the pharmaceutical industry would support continued timely review of critical prescription drugs, as well as advance the development of drugs for rare diseases, provide for enhanced communication with small or emerging companies, increase the use of standardized electronic data to improve quality and efficiency, and foster the use of new clinical endpoints that improve drug development times and help address unmet medical needs.
According to the FDA, the proposed new Generic Drug User Fee program would provide the FDA with needed funding at a time when generic drug applications are on the rise. Generic drug user fees would help ensure consumers timely access to safe, high-quality and effective generic drugs, which account for two-thirds of all prescriptions dispensed in the U.S.
The FDA receives 800 to 900 new generic-drug-related applications annually. These applications are increasingly complex and frequently involve products manufactured outside of the U.S. In exchange for fees on facilities and product applications, the proposal includes performance metrics such as review timeframes and a commitment to achieve parity between surveillance inspections of foreign and domestic establishments by the 2017 fiscal year. As a result, FDA expects that the proposal would effectively eliminate the review backlog and significantly reduce review times. Generic drugs have traditionally undergone slower review times. Most new pharmaceuticals undergo a 10-month review process; however, the typical review time for a generic drug is 30 months. Currently, the FDA has a backlog of more than 2,000 generic drug applications awaiting review. With the new proposal, the FDA has the goal of reviewing 90% of generic drug applications within 10 months.
A biosimilar is a biological product that is highly similar to a U.S.-licensed reference biological product notwithstanding minor differences in clinically inactive components, and for which there are no clinically meaningful differences between the biological product and the reference product in terms of the safety, purity, and potency of the product. The proposed Biosimilar and Interchangeable Products User Fee program is intended for products approved under a new abbreviated approval pathway for biological products shown to be biosimilar to or interchangeable with an FDA-licensed biological product. The Affordable Care Act of 2010 contains a subtitle called the Biologics Price Competition and Innovation Act (BPCI) of 2009, which established this pathway.
According to the FDA, prior to it becoming law, competition in the biologic drug market was stifled. Enactment of BPCI will spark the development of a new segment of the industry, where companies will be able to develop alternative products. This will help spur innovation, improve consumer choice and drive down costs.
The recommended user fee program for biosimilars includes fees for products in development to generate revenue in the near-term and to provide FDA with the resources needed to support development-phase meetings with sponsors of biosimilar biological product candidates.