Home / Business / Should Pfizer and Modern benefit from the Covid-19 booster shot? – quartz

Should Pfizer and Modern benefit from the Covid-19 booster shot? – quartz



The Pfizer vaccine will need to be vaccinated, likely within a year of completing the first two, said Albert Bourla, the company’s CEO, in comments recorded on April 1 and released yesterday. By Pfizer

Moderna also announced plans to have supporters get two doses of the vaccine ready in the fall.

This is always a plausible situation for an immunization campaign. Data on the timing of immunization so far have shown that both Pfizer and Moderna vaccines, both produced using mRNA technology, were highly effective six months after imaging. But the stimulant increases the strength of the immune system even more and may prevent variables that occur.

More pictures, more money for Pfizer and Moderna.

The vaccine does not come free, and the stimulation of the current formulation is likely the first indication of how much drug companies can earn from the Covid-1

9 vaccine over the long term.

Pfizer and Moderna did not respond to Quartz’s request for details on future booster shot pricing. But it is possible to estimate the income for them based on a few considerations.

“Sold at the current price, representing roughly 50 percent more revenue over the long term,” said Christopher Snyder, an economics professor at Dartmouth, who is studying the economy of vaccine development.

Moderna’s forecast for the first two vaccine sales was $ 18.4 billion in 2021, so vaccinations could raise about $ 9 billion. Pfizer estimates there will be at least $ 15 billion in sales for the 1 billion COVID-19 vaccine, so supporters will bring an additional $ 7.5 billion to the pharmaceutical giant.

“The starting price is set before a vaccine is approved and before anyone knows which vaccine will be most effective. Now that we know the mRNA vaccine is excellent, it wouldn’t be a surprise if the price of boosters compared to the new variables was slightly higher, ”says Alex Tabarrok, economist at George Mason University.

But whether the price will remain the same or not is a big question and arguments about whether it will go up or down.

The case for a cheaper and more expensive booster.

“On the one hand, the initial protection obtained from the initial volume tends to be higher than the top up protection from the booster, and the lower value may make it cheaper,” Snyder said. Part of the calculations behind the price of the vaccine is that the savings against COVID-19 will be brought to the healthcare system and the economic value of the nation as soon as possible.

The impact of vaccination on these two factors is slightly lower, so countries may be reluctant to pay the same, even if the vaccine benefits are much higher than their costs. A paper published in Science in March estimates its value in terms of economic impact at $ 600 to $ 1,000 per person.

But sponsors may cost more. Manufacturers are likely to have to invest in production capacity to be able to deliver millions more in addition to the extended vaccine production, which in some way increases costs. In addition, while companies openly attempt to determine the optimal cost for the first volume to avoid accusations that they take advantage of the epidemic for profit. But a booster shot may not have the same ethical weight.

Pharmaceutical companies have stated their intention to negotiate higher vaccine prices in the post-epidemic period. If the worst days of health emergencies are behind us, the COVID-19 booster shot looks like an annual flu vaccine, which is a regular, important vaccination. But it’s not something that will make the difference between life as we used to know. And epidemic life

There is more. While some trials are beginning to experiment and mix different vaccines, for example the second dose of Moderna after the first Pfizer injection, there is currently not enough information on the efficacy of the method. This means that countries that are willing to maintain their population immunity – arguably all of them are quite attached to the vaccine manufacturers they maintain, giving it an edge in negotiating with pharmaceutical companies.

However, drugmakers may want to wait a bit longer and milk the goodwill they’ve been given after developing the vaccine before price increases.

Who will pay for the booster shot?

The question of who pays for the booster shot is easier to answer. Until now, governments around the world have paid for vaccines both for their own populations and for the poorer countries through partnerships such as Covax and bilateral agreements.

Governments in wealthy countries will continue to pay for vaccines as long as they are recommended, as are all vaccines, and will of course extend existing coverage through vaccination. The exception to this rule is often in the United States where routine vaccinations, including childhood immunizations, may incur some expenses.

Until now, vaccines in the United States have been offered at no out-of-pocket costs, including for those without insurance. The government covers those costs through the Provider Relief Fund set up by the 2020 Care Act, although it cannot be said for sure it will cover vaccination. But it is likely to do so – the advantage of keeping immunity high and countries far from vaccine costs.


Source link