State:: USA

Occupation:: Lab Tech

Just as government regulation forces providers to maintain a huge amount of paperwork which raises the cost of healthcare the same is true for manufacturers of medicinal additives. Just like providers, manufacturing cost raises significantly when the federal government is involved. For example, I work for a company that makes an additive for a common narcotic. This same additive is also used for some very common consumer goods. The only difference between the general consumer and pharmaceutical versions of this additive is the amount of paperwork (FDA compliance) that we must maintain for this product. While one batch (tanker car) of the consumer material cost our customers around $100K, a batch of the FDA regulated material will cost over a $1 million. This may seem outrageous and greed driven; however, the truth is that by the time we train personnel, qualify our process, test the material, and fill out the necessary paperwork, our profit margin is not all that much higher than that of the consumer stuff. I may be wrong but I think that the same regulations aimed at keeping us safe are adding to the soaring cost associated with our healthcare industry.