Insulin. Where business and social need meet.

Mar 28, 2024by Sharica Rodgers

Breaking News March, 2024 - Insulin Shortage

If you are currently using 10 mL vials of Humalog® and Insulin Lispro, you might want to check your supply of insulin and plan to restock sooner rather than later.

On Monday, March 25, 2024, Eli Lilly announced that two of its products will be in short supply in early to mid April, 2024. They state the following in their latest press release:

“The 10 mL vials of Humalog® and Insulin Lispro Injection are or will be temporarily out of stock at wholesalers and some pharmacies through the beginning of April. We are continuing to manufacture 10 mL vials of these products and will ship them as soon as we can. In the meantime, all other Lilly insulin products – including Humalog and Insulin Lispro Injection in prefilled pens (KwikPen®) – are currently available in the U.S. We are in ongoing contact with the FDA.” (2)

They also state:

“We recognize that any supply challenge may cause a disruption in people’s treatment regimens, and we are moving with urgency to address it. Anyone experiencing difficulty in getting their prescription filled should contact their healthcare provider to discuss switching to the same insulin in a prefilled pen or other insulin treatment options. Additionally, patients may check other pharmacies in their insurance network for available supply. Patients who need insulin immediately and cannot access their healthcare provider for an alternative treatment option should seek emergency care”.

Tarsis Lopez, a spokesman for Lilly, recently told CNN that the “dynamic nature of insulin supply and demand, coupled with a brief delay in manufacturing, led to the temporary supply constraint.” (3)

Personally, I find it interesting that only a couple of weeks ago, Eli Lilly announced that it was capping the cost of insulin in the US to $35, with pressure from the President of the United States, Joe Biden and patient advocates. A much sought resolution from those who depend on insulin to live in the US, I’m sure. The cost of insulin was truly unaffordable in the US, and some report that 1 in 4 Americans were forced to ration their insulin.

Eli Lilly however, at the time, stated

Given that the “affordability situation” is different in Canada, there will be no changes to its products north of the border”. (1) They assured Global news at the time that “the U.S. price cuts will not impact Canadian supply, and there are “no risks of a shortage.” (1). It is true, despite the U.S. news reporting a shortage, there is no shortage reported in the Canadian news. The site, https://www.drugshortagescanada.ca, does not report any shortage in Canada of Humalog® and Insulin Lispro, so it appears that they were correct in their previous statement as of today.

Another concerning statistic is that according to this article from https://www.pharmexec.com (4)

Humalog brought in $1.7 billion from Eli Lilly in 2023 (5). They state that this is down almost 20% from the year before. They also state “In contrast, the company’s newer drugs for type 2 diabetes and weight loss, Mounjaro and Zepbound, brought in more than $5 billion and are growing so quickly that the company is struggling to keep up with demand”.(4)

Would the pharmaceutical business be designated as Social Businesses?

This article from HEC Paris (6), states that “Broadly speaking, “social business” is a form of business striking a balance between social objectives and financial goals, situated somewhere between profit-maximizing business and the non-profit sector”.

More specifically, a Social Business is one that is for-profit, but doesn’t give bonuses or dividends to its owners or shareholders. At the face of it, this sounds like a good plan and seems to allow us to have our cake and eat it too. Is this a good balance between a more social system and a pure free-market system? I am in no way an economist, but the recent manipulations of the US government have coincided with a shortage of the very product that they’re trying to get out to more people. Coincidence? I don’t know.

The bottom line dictates where companies put their resources, and you can’t make something from nothing. Maybe forcing a slash in prices was not the right thing to do? What are your thoughts?

1.https://globalnews.ca/news/9525336/eli-lilly-insulin-prices-canada/