Drug company giants in America are intensifying their lobbying efforts aimed at eliminating subsidized prescription drug prices in Canada.
Reportedly, $1 million is being added to the already heavily funded drug lobby against the Canadian health care system.
Canada�s Internet pharmacy industry, which Americans have been using to buy prescription drugs at significantly lower prices than are available in the United States, is also being targeted by the Pharmaceutical Research and Manufacturers of America (PhRMA).
PhRMA, which claims the online pharmacies put patients at risk, added another $450,000 to their budget specifically to attack the legitimacy of such pharmacies.
According to PhRMA, Canadian price controls �take away innovation.� They state that eliminating subsidies would increase the amount of drug development done in Canada and give Canadians access to more drugs.
Canadian critics, on the other hand, say that taking away price controls would allow drug prices to rise uncontrollably, leaving many Canadians unable to afford prescription drugs--a scenario that is common in the United States.
Others say that PhRMA is attacking the Canadian drug industry simply because their lower prices make drug companies in America look bad.
Prescription drugs are a huge business. Each year, more than $12 billion is spent on prescription drugs in Canada and 65 percent to 70 percent of this amount is spend on brand name products. In the United States, the amount spent on drugs is 10 times that amount.
Additionally, the industry is battling over patent regulations with generic drug makers. The prescription industry says that companies must be protected and allowed to regain the money it cost to develop and improve the effectiveness of drugs.
Edmonton Journal June 9, 2003
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