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Ireland will have to sell hundreds of millions euros worth its drugs in order to cover its €2.8bn bill from the UK tax deal, health minister Simon Harris has assured.
The government has committed to selling off 400 million euros worth of licences in 2016 after the UK government made a final cash offer for the rights to its old medicine portfolio.
The drugs' market value will then have to be estimated by the Department of Finance and Irish pharmaceutical company Pharming has put a likely figure of €500m in its books.
"When you look at the market value of portfolio, 450m, it's going to be a lot less [€500m] than that," Harris told the Independent.
"But you are absolutely right in saying that if we did lose money, it would be very big.
"It would be a large investment in our economy, future, capacity to keep moving forward."
The medicines were originally best drugstore eye cream dry skin developed by the now-defunct company Novartis and were part Cymbalta 60 Pills 40mg $225 - $3.75 Per pill of its lucrative group life-saving drugs in 2003/03.
In 2007/08, the UK company sold them to Ireland – taking a €22m hit to its overall profit – but they are now part of a government 'back-to-basics' strategy which has seen Irish firms build up their drug portfolios.
Pharming last year reported a €3.8bn profit for last year, a turnaround of over 50pc, as it acquired the former Roche and Pfizer UK drug brands acquired a pharmaceutical production facility in Wales.
The Irish government's drugs strategy has led to a surge in pharmaceutical revenue: sales rose by €6bn in 2015 from the previous year, or by 2.7pc. The total is now worth €52.3bn, or more than one time Ireland's annual GDP.
Pharming is hoping to rebrand the old portfolio in a move which will see Ireland join Switzerland, Austria, Japan and Germany as one of the only countries with a portfolio of old branded drugs.
Meanwhile, Harris said that Pharming has already started working with Irish authorities in trying to find new medicines and would be looking to create a new unit that would offer solutions for patients.
Pharmaceutical companies need to move away from being limited to offering branded drugs, Harris said.
"The more that we can innovate, the more come up with new medicines and different therapeutic approaches, the more likely we are to see the success we are now expecting in the Irish market," Harris said.
Harris said that he had already met with a number of pharmaceutical firms in Ireland, while also agreeing with UK Prime Minister David Cameron's pledge of an Irish-only tax deal on EU medicines.
Harris said: "We have reached a very detailed agreement with Pharming, a new unit within the company which is going to provide new ideas, approaches for medicines and that is going to be part of the package."
The Health Minister has pledged to cut drug prices by €1bn a year with an 'insurance fund' which would pay for drugs to be purchased by patients in certain circumstances.
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