FDA Lets Pharmacies Compete Against Price Gouging Company Making Pregnancy Drug

Reacting to a pharmaceutical company’s seemingly greedy ploy to jack up a premature birth-preventing drug from $10-$20 to $1,500 after the Food and Drug Administration granted it exclusive rights to produce the drug, the FDA shifted course and will allow specialty pharmacies into the market.

The Los Angeles Times reports KV Pharmaceuticals sent pharmacies letters telling them that if they compounded their own versions of progesterone, the FDA would penalize them. The FDA said this week it wouldn’t do so:

“In order to support access to this important drug, at this time and under this unique situation, FDA does not intend to take enforcement action against pharmacies that compound based on a valid prescription.”

KV says it will not lower the price of its drug.

FDA opens up competition for pregnancy drug [Los Angeles Times]