The Tánaiste and Minster for Health, Mary Harney, has said a new agreement between the Health Service Executive and the pharmaceutical industry will cut €300 million from the State's drugs bill over the next four years.
The announcement was made following negotiations between the HSE and the Irish Pharmaceutical Healthcare Association (IPHA), which represents the industry.
The State currently spends €1.8 billion annually on drugs for hospitals and community schemes.
The current agreement includes a price reduction of 35% for off-patented medicines.
