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Background Info

The proposal is as follows:

1. That a private company may be formed for the purposes of manufacturing drugs out of patent, and to develop and research new drugs that are conducive to the needs of the Scottish population.

2. Out of patent drugs would be manufactured comparable to a brand/reference listed drug product in dosage form, strength, quality and performance characteristics, and intended use.

3. The private company's shares would be wholly owned by the Scottish Government.

4. Profits derived from the sale of drugs to the National Health Service would be provided to the Scottish Government in the form of dividends.

5. Dividend profits could then be split between research into new drugs, and/or be used for the benefit of the Scottish NHS as a whole.

6. This model would reduce the cost of drug supply to the National Health Service, offer a marketing route, allowing the Scottish Government to offer these drugs on the open market by way of a subsidiary for the purposes of sale to other medical organisations around the world and, subsequently allow the profits to be returned for the benefit of the Scottish NHS.

7. The creation of new drugs by this organisation would allow patents’ to be obtained allowing the drugs to be offered under patent, (with exclusivity), and subsequent profits derived on the open market.

8. The organisation would create employment opportunities in a highly trained science based sector within Scotland, from Pharmacists to Lab Technicians and Research Fellowes to Graduates in Pharmaceutical science. The obvious benefits of such high calibre skilled workers, combined with taxation are obvious.  With the correct management structure, the company could see returns in the billions.

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