FDA Under Fire Over Crack Down on Drug Imports from Canada

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FDA Under Fire Over Crack Down on Drug Imports from Canada

A Food and Drug Administration (FDA) effort to crack down on drug imports from Canada is stirring outrage. Recently the FDA issued a warning that companies may be violating civil and even criminal law by making it possible for Americans to buy less expensive drugs from Canada.

Research by the Government Reform Committee has shown that American seniors generally pay twice as much for prescription drugs as do their counterparts in Canada (see chart at http://www.tscl.org/NewContent/101889.asp). For years the FDA has maintained a policy that lets U.S. patients bring back small amounts of prescription drugs for personal use.

Now Internet sales from Canadian pharmacies are skyrocketing. According to The Wall Street Journal, there are now at least 30 Canadian pharmacy services appearing to offer sales to U.S. citizens over the Internet at an estimated value of $500 million in sales a year. While the amount isn’t yet a real threat to U.S. pharmaceutical sales of $192 billion annually, a growing number of drug manufacturers want to stamp out imports. In addition to Internet pharmacies, last fall a few U.S. health insurers started to offer plans to pay for drugs ordered through Canadian pharmacies. UnitedHealth Group, Inc., America’s largest health insurer, allowed 97,000 members of AARP plans to buy drugs in Canada.

FDA’s tough new stance drew fire at a raucous Congressional hearing. Of major concern was why the FDA was not enforcing recent legislation that allows consumers and pharmacists to purchase FDA-approved prescription drugs internationally. The Wall Street Journal reports that lawmakers “lambasted the FDA, saying it has no evidence of a safety problem and that its warnings are scaring seniors.” “You scare the hell out of them,” said Representative Dan Burton (R-IN), Chairman of the Subcommittee on Human Rights and Wellness.

About 87% of those responding to the 2003 Advisor Senior Survey favor allowing the importation of FDA-approved drugs from Canada.

Sources: “FDA is Cracking Down on Drugs From Canada,” Thomas M. Burton, The Wall Street Journal, March 12, 2003. “FDA Defends Tougher Stance On Drug Imports From Canada,” Sarah Lueck, The Wall Street Journal, April 4, 2003.

To read more on this, see “Canadian Pharmacies Pressured to Halt Shipments to U.S. Seniors” at http://www.tscl.org/NewContent/101807.asp.

July 2003