Navigation Links
Toward competitive generic drug prices in Canada
Date:11/19/2012

The commitment of Canadian premiers to lower generic drug prices is a major change in how the country prices generic drugs, and government should learn from past attempts, states an article published in CMAJ (Canadian Medical Association Journal).

Generic drug prices are higher in Canada than in other industrialized countries. The authors argue that the premiers' call for a national bulk purchasing program, made earlier in 2012, is a positive step for Canadians.

"The joint commitment from Canada's premiers to use coordinated bulk purchasing to lower these prices is important, and, moving forward, governments should learn from past attempts at obtaining more competitive prices," writes Dr. Michael Law and Jillian Kratzer, Centre for Health Services and Policy Research, School of Population and Public Health, University of British Columbia. "It should be clear from the outset that the provinces intend this to be the future of generic pricing, and political support should be secured by offering Canadians universal public coverage for this first round of medications."

For two decades, Canadian provinces have set generic drug prices using percentages of the equivalent brand name. This has left a wide gap between what drug plans reimburse and the cost at which generic companies sell to pharmacies. The result is a system where generic companies pay confidential "rebates" to pharmacies that stock their products.

If Canadian prices were successfully lowered to levels seen in other countries, the potential savings would be hundreds of millions of dollars. This number is also poised to grow as a number of popular drugs come off patent in Canada, meaning generic drug use will increase significantly.

The authors outline several suggestions to help successfully lower costs through bulk purchasing, including:

  • Involve as many provinces as possible in purchasing agreements to make bulk purchasing attractive to generic drug companies.
  • Expand the number of commonly used drugs included in the competitive purchasing approach.
  • Ensure transparency in competitive processes.
  • Encourage brand name and generic manufacturers both domestic and international to participate.
  • Learn from best practices in other countries that use contracting to predict and manage the potential risks, such as shortages.

"Our goal in pricing generic drugs should be to provide a reliable supply of high-quality medicines at the best possible cost," write the authors. "By changing the way Canada procures medicines, this joint commitment is a true opportunity to both reduce drug expenditures and improve access to health care," conclude the authors.


'/>"/>

Contact: Kim Barnhardt
kim.barnhardt@cmaj.ca
613-520-7116 x2224
Canadian Medical Association Journal
Source:Eurekalert

Related medicine news :

1. Toward new drugs for the human and non-human cells in people
2. Drive toward a viable City of the Future
3. New report describes 7 essential steps toward an AIDS-free generation
4. Working toward an AIDS-free generation
5. A further step towards preventing diabetes
6. BioMed Central presents Challenges in Malaria Research: Progress Towards Elimination
7. Attitudes toward outdoor smoking ban at moffitt Cancer Center evaluated
8. Toward medicines that recruit the bodys natural disease-fighting proteins
9. Field guide to the Epstein-Barr virus charts viral paths toward cancer
10. Heatwaves to move toward coasts, study finds
11. Prototype represents a step toward enhanced soft-tissue tomography
Post Your Comments:
*Name:
*Comment:
*Email:
(Date:10/13/2017)... (PRWEB) , ... October 13, 2017 , ... Apple ... care services, staged a mock evacuation of the facility as part of a disaster ... Fire Department, Echo Hose EMS and Shelton City Emergency Manager, as well as the ...
(Date:10/13/2017)... ... October 13, 2017 , ... Yisrayl Hawkins, Pastor and Overseer at ... of the most popular and least understood books in the Holy Scriptures, Revelation. The ... that have baffled scholars for centuries. Many have tossed it off as mere rubbish, ...
(Date:10/12/2017)... ... October 12, 2017 , ... First Healthcare Compliance (FHC), an ... showcase a range of technology and learning solutions at the 68th Annual American ... to be held October 14–18, 2017 at the Mandalay Bay Resort in Las ...
(Date:10/12/2017)... , ... October 12, 2017 , ... The American College ... to Carol Friedman, PhD, FACMI, during the Opening Session of AMIA’s Annual Symposium in ... , In honor of Morris F. Collen, a pioneer in the field of medical ...
(Date:10/12/2017)... ... , ... Leading pediatric oncology experts at Children’s National Health System ... of the International Society of Paediatric Oncology (SIOP) Oct. 12-15. Chaired by ... Blood Disorders at Children’s National, and Stephen P. Hunger, M.D., Chief of the ...
Breaking Medicine News(10 mins):
(Date:10/2/2017)... Diplomat Pharmacy, Inc. (NYSE: DPLO ... LLC , and named its founder as Diplomat,s chief ... Tennessee , will operate under Diplomat subsidiary ... offerings for health care partners to include IT outsourcing, ... "In an interoperable world, technology delivers comprehensive insight ...
(Date:9/28/2017)... , Sept. 28, 2017 Hill-Rom Holdings, Inc. ... earnings conference call and webcast on Friday, November 3, ... (EDT) and ending at approximately 8:30 a.m. (CDT) / ... the company,s 2017 financial performance and guidance for 2018, ... initiatives to enhance operational performance, and long-range financial outlook ...
(Date:9/25/2017)... PROVIDENCE, R.I. , Sept. 25, 2017 /PRNewswire/ ... immunogenicity assessment, vaccine design, and immune-engineering today announced ... focused on the development of personalized therapeutic cancer ... and has provided exclusive access to enabling technologies ... MSc Eng., MBA will lead EpiVax Oncology as ...
Breaking Medicine Technology: