House Approves Bill Easing Prescription Drug Imports

Send this article to a friend.

Printer friendly version.

House Approves Bill Easing Prescription Drug Imports

In a major defeat for the pharmaceutical industry, the House passed a bill that could open the U.S. to greater prescription drug price competition. The “Pharmaceutical Market Access Act of 2003,” H.R. 2427, introduced by Representative Gil Gutknecht, was supported by a grassroots e-mail lobbying effort by thousands of members of TREA Senior Citizens League. The bill, which would allow wholesalers, pharmacies, and U.S. consumers to purchase lower-priced FDA approved drugs from Canada and certain European nations, has now become part of the Medicare prescription drug bill under negotiation with the Senate.

The vote occurred as a result of Representative Jo Ann Emerson (R-MO), a co-sponsor of H.R. 2427 (and a sponsor of Notch Reform legislation). In return for her tie-breaking vote for the larger House Medicare prescription drug coverage bill, Congresswoman Emerson was promised a vote on H.R. 2427. The House prescription drug bill initially contained a provision to allow the reimportation of drugs, but only if the Secretary of the Department of Health and Human Services guarantees safety of the drugs. Secretary Tommy Thompson has said he would not do that. H.R. 2427, a much stronger measure, would, among other things, mandate counterfeit-resistant packaging to protect American consumers.

To fight the bill, the pharmaceutical industry bankrolled a widespread “senior scare” ad campaign, even using some seniors organizations as front groups. The ads charged that permitting drug importation could trigger an influx of counterfeit drugs. That sparked the irate response of yet another bill co-sponsor, Representative Rahm Emanuel (D-IL), who purchased airtime himself to counter the scare tactics. “These negative attacks won’t stop us from fighting to end the price gouging in prescription drugs,” said Congressman Emanuel in his ad. “We’re going to keep fighting to put seniors and taxpayers first.”

According to government estimates, legal importation would mean lower prices for seniors and a severe financial hit for the pharmaceutical industry because the government-set prices in Canada and Europe are often half of the U.S. price.

Sources: “Drug Import Bill’s Sponsor Fires Back at Industry Ads,” Ceci Connolly, The Washington Post, July 15, 2003

October 2003