Negotiations between government and industry on access to generic pharmaceuticals have reached an impasse over whether drug prices should go lower despite rising production costs.
It is the third time the two parties have negotiated, after previous agreements were signed in 2014 and 2018. The current deal expires March 31, 2023. The companies say that, at the same time as their prices are fixed or declining, they have faced record inflation in the cost of raw materials and labour.
“Any further reduction in prices will further fragilize the supply in Canada, I can guarantee you,” said Michel Robidoux, president and general manager of Sandoz Canada. “We have already reached that point where some of our molecules, we’re selling at cost or below our cost.” Michael Law, a health-policy professor at the University of British Columbia and Canada Research Chair in Access to Medicines, said generics play an important role in provincial health budgets because they cost a fraction of brand-name drugs. In fact, he said, Canada could be using even more of them – according to the U.S. Food and Drug Administration’s Office of Generic Drugs, 90 per cent of U.S. prescriptions are filled with generic drugs.
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Another massive Liberal screwup in the making!!!
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