Market Analysis and Price Projections for the Drug NDC: 0904-6407
Overview of the Drug
The drug with the NDC code 0904-6407 is a bisacodyl tablet, specifically a delayed-release formulation, manufactured by Major Pharmaceuticals. Bisacodyl is a stimulant laxative used to treat constipation and prepare the bowel for surgical or diagnostic procedures[1].
Market Trends in the Pharmaceutical Industry
Global Pharmaceutical Market
The global pharmaceutical market is expected to see robust growth, driven by factors such as ageing populations, emerging markets, and the demand for new products. The market is forecast to grow by 3% in 2024, 4% in 2025, and 3.6% in 2026. Regions like the Asia Pacific and the Middle East are anticipated to have the largest annual growth rates[3].
US Pharmaceutical Market
In the United States, the pharmaceutical market is characterized by robust sales and low credit risk. The US pharmaceutical output is expected to increase by 2.9% in 2024 and 2.5% in 2025, following a 17.3% surge in 2023. Investments in the sector are forecast to increase by 15.8% in 2024. The demand for weight-loss drugs and medications for chronic conditions, driven by an ageing population, will continue to support market growth[3].
Pricing and Regulatory Environment
Drug Pricing Regulations
The US government has taken steps to reduce pharmaceutical prices, which could impact the industry. For instance, the Medicare Drug Price Negotiation Program, initiated under the Inflation Reduction Act, aims to negotiate lower prices for certain drugs covered under Medicare Part D. While bisacodyl is not listed among the drugs selected for the first cycle of negotiations, future regulatory changes could affect pricing strategies across the pharmaceutical sector[2].
National Drug Code (NDC) Changes
The FDA has proposed a rule to change the NDC format from 10 digits to 12 digits, which could have implications for drug labeling, billing, and inventory management. This change is intended to provide a uniform format and avoid the depletion of 10-digit NDCs. However, this proposal does not directly impact the pricing of drugs like bisacodyl but may influence operational efficiencies and compliance costs[4].
Price Projections for Bisacodyl
Current Pricing
Bisacodyl, being an over-the-counter (OTC) medication, is generally priced lower compared to prescription drugs. The pricing is influenced by market competition, production costs, and regulatory factors.
Future Pricing Trends
Given the stable demand for laxatives and the absence of significant changes in the production costs or market dynamics, the price of bisacodyl is likely to remain relatively stable. Here are some key points to consider:
- Regulatory Impact: While the Medicare Drug Price Negotiation Program does not directly affect OTC drugs like bisacodyl, broader regulatory efforts to control drug prices could indirectly influence the pricing strategy of pharmaceutical companies.
- Market Competition: The presence of generic and branded competitors in the laxative market will continue to keep prices competitive.
- Demand: The ongoing demand driven by an ageing population and the need for constipation relief will support stable pricing.
Illustrative Statistics
- The global market for laxatives is expected to grow, driven by increasing demand from ageing populations and emerging markets.
- In the US, the pharmaceutical output, including OTC drugs, is forecast to grow by 2.9% in 2024 and 2.5% in 2025[3].
Operational and Billing Implications
NDC Code Usage
The NDC code 0904-6407 is crucial for billing and inventory management. The proposed change to a 12-digit NDC format will require updates to systems and processes but is not expected to impact the pricing of the drug directly[4][5].
Billing and Reimbursement
For healthcare providers and billers, accurate use of NDC codes ensures correct payment and control of drug costs. The NDC code helps in assigning the correct HCPCS billing codes and facilitates the processing of claims[5].
Key Takeaways
- The global and US pharmaceutical markets are expected to grow, driven by ageing populations and emerging markets.
- Regulatory efforts to control drug prices may indirectly influence the pricing of OTC drugs like bisacodyl.
- The demand for laxatives is stable, supporting relatively stable pricing for bisacodyl.
- The proposed change to the NDC format will require operational updates but is not expected to impact pricing directly.
FAQs
What is the primary use of bisacodyl tablets?
Bisacodyl tablets are used as a stimulant laxative to treat constipation and prepare the bowel for surgical or diagnostic procedures[1].
How will regulatory changes affect the pricing of bisacodyl?
Regulatory changes, such as the Medicare Drug Price Negotiation Program, do not directly affect OTC drugs like bisacodyl. However, broader regulatory efforts could indirectly influence pricing strategies[2].
What is the impact of the proposed NDC format change on bisacodyl pricing?
The proposed change to a 12-digit NDC format is intended to provide a uniform format and avoid the depletion of 10-digit NDCs. This change is not expected to directly impact the pricing of bisacodyl[4].
How does the NDC code affect billing and reimbursement for bisacodyl?
The NDC code ensures accurate billing and reimbursement by assigning the correct HCPCS billing codes and facilitating the processing of claims[5].
What are the market growth projections for the pharmaceutical industry?
The global pharmaceutical market is forecast to grow by 3% in 2024, 4% in 2025, and 3.6% in 2026, driven by ageing populations and emerging markets[3].
Sources
- DailyMed: UNIT DOSE BISACODYL- bisacodyl tablet, delayed release.
- CMS: Medicare Drug Price Negotiation Program - CMS.
- Atradius: Industry Trends Pharmaceuticals September 2024.
- FDA: Proposed Rule on Revising the National Drug Code Format.
- AAPC: NDC Code Lookup - CPT/HCPCS Cross-Reference.
