We hope that this action will ultimately serve as a model for addressing the needs of the millions of non-elderly who lack health insurance, including drug coverage. While in America we debate how to extend the benefits of innovation to more people, in Europe awareness is also growing that too much government regulation can harm the environment for innovation. Patient access to information on the latest treatments is limited to all but the most resourceful. At a recent workshop on global competitiveness of the pharmaceutical industry, Commissioner Liikanen pledged to work with industry, the Commission and Member States to find ways to improve European competitiveness in the life sciences, an encouraging sign to industry leaders, scientists and patients anxious to see biomedical innovation to flourish throughout Europe. To be sure, strong clusters of innovation can be seen throughout Europe.
Several countries have long track records of supporting basic research.
The work done by universities, research institutes and medical schools is a major factor in attracting and sustaining a strong pharmaceutical and life sciences industry presence. In addition, other countries are encouraging the start-up of biotechnology firms. Furthermore, the 1998 Biotechnology Patent Directive encouraged the development of the biotechnology industry in Europe by creating a consistent environment for biotech research across the continent. Curiously, the pharmaceutical industry is virtually the only sector that does not benefit from the Single Market in Europe. The incompatibility between national price controls and the principle of Free Movement of Goods distorts the European market, limits competition and damages pharmaceutical industry competitiveness.