Funding Isn’t Everything: Bringing Pharma to the Table for the Pasteur Act
The pharmaceutical industry faces challenges when investing in new antibiotics, which emphasizes the need for regulatory reforms, incentives, and collaborative efforts between government, healthcare organizations, and private companies. The prospective bill, the Pasteur Act, is one potential strategy to help in these areas, and incentivize pharmaceutical companies to develop these essential therapies.
Greg Mario, MBA, CEO, TAXIS Pharmaceuticals
Image credit: TAXIS Pharmaceuticals
Antimicrobial resistance (AMR) is not just a local health issue; it has emerged as a pressing global crisis that poses a significant threat to public health systems worldwide. Imagine a world where minor infections could once again become fatal due to the ineffectiveness of our existing antibiotics—a reality that could be right around the corner if we fail to act now. The World Health Organization has placed AMR at the forefront of global health challenges, warning that without urgent intervention, AMR could lead to an estimated 39 million deaths by 2050, a staggering 70% increase from previous projections.1
This impending disaster is exacerbated by a rising tide of drug-resistant infections, creating longer hospital stays, more complicated treatments, and increased mortality rates that not only jeopardize individual lives but also place immense strain on an already overburdened healthcare system. Countries around the globe are witnessing the economic fallout where the treatment of drug-resistant infections is draining healthcare resources, leading to increased hospital costs and diminished workforce productivity.
In response to this ever-growing crisis, Congress has reintroduced the Pioneering Antimicrobial Subscriptions to End Upsurging Resistance (PASTEUR) Act, which proposes a critical injection of $6 billion to advance the development of new antibiotics capable of combating resistant bacteria.2 And while this act represents a crucial step towards addressing the antibiotic resistance epidemic, the reality is that pharmaceutical companies remain hesitant to engage deeply in the development of new antibiotics. While the funding incentive offered in the proposed act is essential, it is far from the only consideration.
The support required to encourage innovation and restore the antibiotics market is multifaceted, demanding a collective commitment from all stakeholders involved. To spark innovation and breathe new life into the antibiotics market, we need to create an environment that encourages growth. This means developing supportive market conditions, simplifying regulatory processes, and building strong partnerships between the industry, government, and public health organizations. Beyond funding incentives, we also need to cultivate a collaborative space where pharmaceutical companies feel motivated and confident to invest in research and development. By advocating for incentives that highlight the importance of these essential therapies, we can ensure that the private sector is not only willing, but excited to be a part of the solution to this pressing global health challenge.
Tackling the Challenges of a Broken System
The economic landscape for antibiotic development is fundamentally flawed. Traditional models do not incentivize drug manufacturers to invest in antibiotics, particularly in a market where the financial returns are often unattractive compared to cancer therapies, which command higher prices and higher profit margins. The costs associated with researching and developing new antibiotics are coupled with a marketplace that prioritizes profitability, leaving pharmaceutical companies reluctant to engage in antibiotic development. The problem has persisted for decades; many pharmaceutical companies have exited the antibiotic market entirely, opting instead to pursue more lucrative therapeutic areas.
The Pasteur Act seeks to address these issues by providing substantial financial support alongside other necessary incentives for drug manufacturers. It aims to create a much needed “pull” mechanism that ensures a return on investment for companies willing to brave the complexities of antibiotic development. By guaranteeing payments for successful antibiotics—akin to a bounty for breakthrough solutions—the Pasteur Act encourages companies to invest in R&D for these lifesaving drugs.
In addition, the Pasteur Act has garnered broad bipartisan support, backed by a coalition of physicians and patient advocacy groups. This demonstrates the collective recognition of AMR as a critical public health challenge that cannot be addressed in isolation. Crucially, the Pasteur Act is fostering a movement that promotes equitable access to new therapies, guaranteeing that medications developed under its framework will be provided at no cost to Medicare and Medicaid recipients and those who receive health benefits from the Department of Veterans Affairs.
And while this momentum is promising, it is critical that pharmaceutical companies, Congress, and other stakeholders maintain a unified front in addressing the AMR crisis. With the 2024 Presidential election approaching, the urgency to act must not waver under the weight of political shifts and tensions. Instead, collaborative efforts should focus on advancing AMR initiatives like the Pasteur Act, which will ultimately benefit society at large.
Redefining Success: From Extending Lives to Preventing Illness
The current healthcare discourse often emphasizes the palliative treatment of chronic conditions, especially in oncology, overshadowing the potential of preventative care in the arena of antibiotic treatments. While palliative care aimed at extending the lives of older Americans is both noble and necessary, it should not preclude investment in antibiotics that can prevent infections in younger and healthier populations.
We need to shift our perspective and reconsider how we allocate our resources. Investing in antibiotics isn’t just about fighting infections; it’s about protecting our future generations, too. Imagine how much better our lives and communities would be if we could prevent illnesses from taking hold in the first place. By prioritizing funding for antibiotics, we can help prevent sickness, shorten hospital stays, and ultimately save lives. In doing so, we also contribute to a healthier workforce, allowing people to stay productive and engaged in their daily lives while continuing to prop up the economy. It’s about creating a healthier future for everyone and ensuring that no one needs to face the consequences of preventable diseases.
A Collaborative Path Forward: Addressing the AMR Challenge
As pharmaceutical companies look ahead to their role in combating antimicrobial resistance (AMR), aligning their interests with public health priorities is essential for driving meaningful change. The Pasteur Act presents an exciting opportunity to reinvigorate the antibiotic market. While securing funding is vital, it will also be crucial for these companies to actively participate in the legislative process and fully embrace their responsibilities as stewards of public health. By doing so, they can help shape a healthier future where effective antibiotics are consistently available to fight resistant infections.
Looking ahead, we must also harness the power of new science and innovative technologies. Developing novel antibiotics is just part of the solution; as bacteria evolve, our research must tackle the underlying causes of AMR. This includes creating combination therapies that can work alongside existing, FDA-approved antibiotics to disable bacterial resistance mechanisms and restore these drugs' effectiveness. By exploring these new avenues and leveraging emerging technologies, drugmakers can develop breakthrough therapies that defy the grim predictions of rising AMR mortality rates and ultimately save lives.
By bringing together the private sector, government agencies, and research institutions in collaboration, we can create an exciting ecosystem that sparks innovation and meets essential public health needs. Investing in groundbreaking solutions, bolstered by legislative initiatives like the Pasteur Act, will play a crucial role in tackling the AMR epidemic head-on. Together, we have the power to build a vibrant future for antibiotic development—one where effective treatments are readily available, and our communities are free from the fear of untreatable infections.
Mario is the chief executive officer of TAXIS Pharmaceuticals.
