Get insightful and

helpful tips to treat

your symptoms for FREE

Want an ad free reading experience?

Download PharmEasy App

Banner Image

Register to Avail the Offer

Send OTP

By continuing, you agree with our Privacy Policy and Terms and Conditions

Success Banner Image


Notify of
Inline Feedbacks
View all comments

Leave your comment here

Your email address will not be published. Required fields are marked *


Why Are Generic Medicines Less Expensive?

By Dr. Nikita Toshi +2 more

The pharmaceutical industry is an essential component of health care systems worldwide. It is based mainly on scientific research and developing medicines for various diseases and disorders. Manufacturing medicines requires huge amounts of raw materials. Newly developed non-generic medicine is patent protected for a certain period of time. The pharmaceutical company that gets the patent and clearance alone is allowed to manufacture and market the medicine during this time and receives the entire profit from it. The patent protection prohibits other companies from making and selling copies of the same medicine. Let us look at the factors responsible for the high price of non-generic medicine.

Reasons why non-generic medication costs are higher than generic medication prices

  1. Production Cost

A company successfully develops a new medicine after years of research as well as animal and human testing. To recover the cost of research and development, clinical trials, labour, marketing and more, companies usually set the price of non-generic medicines on the higher side. Non-generic medicines must undergo research and testing to demonstrate their safety and effectiveness of the medicines. 

  1. Medicine Patents

In most cases, the medicine manufacturing companies are entitled to a patent with an exclusive right to sell their medicine without competition. A pharmaceutical company applies for a patent before the medicine undergoes clinical trials to assess a medicine’s safety and efficacy. Once the patent expires, other companies can manufacture and sell the medicine as a generic medicine. Generic medicine can be made without repeating research and testing, which results in a significant drop in medicine prices. 

  1. Demand

Life-saving prescription medicines are not like other products. If a sick person needs medicine to get better or stay alive, then they will try to pay any amount and obtain the medicine anyhow. Also, generic variants of all non-generic brands may not be available.

  1. Marketing and advertising

Companies spend large amounts of money to market and advertise their medicines, even more than they spend on research, testing and development. This increases the overall cost of non-generic medicines.


Non-generic medicines are often expensive and prices have risen over the past decade due to the factors mentioned above. Many families find it difficult to pay for the medications. Especially after the COVID-19 pandemic, non-generic medicines have become more unaffordable. Healthcare is a necessity and generic medicines are the alternatives and a solution to cut medical bills.

Disclaimer: The information included on this site is for educational purposes only and is not intended to be a substitute for medical treatment by a healthcare professional. Because of unique individual needs, the reader should consult their physician to determine the appropriateness of the information for the reader’s situation.



Leave your comment...

You may also like