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Measuring the Relative Size of the 340B Program: 2017 Update

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July 25, 2018
Aaron Vandervelde and Eleanor Blalock
BRG Healthcare

The 340B Drug Discount Program has come under increased scrutiny in recent years from government agencies and others who note the negative impact the program may have on the broader market for pharmaceuticals. This impact is in part due to the program’s increasing size relative to the overall pharmaceutical market. Since 2010, the program has expanded at an average annual growth rate of 21 percent and has grown by 114 percent in the last three years alone. In May 2018, the Health Resources and Services Administration (HRSA) reported that in 2017, 340B covered entities purchased more than $19 billion in drugs at the 340B price.

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This study was funded by the Pharmaceutical Research and Manufacturers of America.

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