Generic Drug Trade Group CEO Warns Of Consolidation, Shortages If Market Doesn't Improve

Chip Davis, the head of the generic drug trade association, cautions that if the business climate for generics does not improve, companies will consolidate or discontinue product lines -- potentially driving up prices and causing shortages. He points to a recent merger and factory closure as evidence that the group’s members are already considering these last-ditch options. Davis blames policies long-cited as problems by the trade group, including purchaser consolidation, drug pricing laws that apply to generics and tactics used...