LOS ANGELES — California Gov. Gavin Newsom announced a new $50-million contract with the nonprofit generic drugmaker Civica to produce insulin under the state’s own label during a news conference Saturday in Downey.
Newsom originally declared his intent to produce generic drugs three years ago in an attempt to lower the cost of pharmaceutical products for Californians who struggle to afford often life-saving medication. The deal with Civica would provide the first pharmaceutical product made under the CalRX brand of generic drugs.
Under the deal, a 10-milliliter vial — normally costing $300 — would be made available for the same $30 price it cost the state to manufacture and distribute the drug, according to the governor’s office. Newsom’s office said that as a result of such sharply reduced prices, patients who pay out of pocket for insulin would save between $2,000 and $4,000 annually.
