While Minnesota's state senate Republican majority isn't about to regulate prescription drug prices within the North Star State--perish the big government socialism or so the talking point goes, they're perfectly cool importing drugs from a country where lower prices are the consequence of government regulations.
In Monday's caucus website statement, Senate Republicans roll out “Vision 2020” agenda, we learn of the Senate Republican solution for the insulin crisis, as well as other expense prescription drugs:
In 2020, the Senate will look at further reducing drug costs with a drug reimportation program so patients can get cheaper Canadian drug prices at their local pharmacy – including insulin and other life-saving drugs.[emphasis in original]
Why do "cheaper Canadian drug prices" exist? Professor and Head of the Department of Pharmacy Practice at the University of Connecticut C. Michael White writes in Why cheaper drugs from Canada likely won’t cure what ails US, in the Conversation:
President Trump has called for ways to allow U.S. residents to buy cheaper prescription drugs from Canada. Many drugs are cheaper in Canada, thanks to government price controls in that country. . . .
Canada offers the same drugs at cheaper prices because the Canadian government, which foots the bill for prescription drugs, will not pay for a drug if a government review board believes the cost is excessive. This board, the Patented Medicine Prices Review Board, is a quasi-judicial agency. It was established by Canadian Parliament in 1987 under the auspices of the minister of health. If the board thinks a price is too high, it won’t pay. Faced with loss of the entire Canadian market if it doesn’t lower prices, manufacturers capitulate.
Also, Canadians have different expectations about what is covered and what is not. Canadians accept that their health care resources are finite.
In addition, there are price caps after a drug appears on the Canadian market. The price charged each successive year is allowed to rise only with the rate of inflation. In the U.S., even generic drug prices can rise precipitously with little advanced warning. . . .
Curious that it's okay to import those cheap big government drugs, but heavens forbid that state government regulate drug prices.
There are several other barriers to importation of Canadian drugs, as Kaiser Health News reports in Border Fight: Trump’s Plan To Import Cheaper Drugs From Canada Faces Hurdles. Read about the hurdles there. There's also the possibility that cost savings won't happen, as CBS News reported in late December's Experts "not optimistic" about Trump plan to import drugs from Canada.
There's another issue as well: Canada may just not be willing to cough up all those commie capsules to the United States. The CBC's David Thurton reported back in July's Shortages feared as U.S. looks to Canada for cheaper prescription drugs:
The prospect of Americans raiding Canadian pharmacies for cheaper prescription drugs is raising the spectre of drug shortages north of the border.
On Wednesday, U.S. President Donald Trump's administration said it would create a system to allow Americans to import cheaper Canadian drugs legally. The policy change would reverse previous decisions by past administrations by allowing American states and pharmacies to buy more affordable medicines north of the border. Washington offered no estimate of when this new policy would start.
Ten U.S. states have passed or proposed laws to allow pharmaceutical imports, but those laws have no teeth without U.S. federal approval.
Reacting to the news, Health Minister Ginette Petitpas Taylor said ensuring Canadians continue to have access to the medicines they need "is one of our top priorities." She said her department is in touch with U.S. officials to learn more about the proposed changes to American drug policy.
We could export every pill, every vial of insulin ... and the U.S. would still have a problem.
- Health policy academic Joel Lexchin
"(We) will be working closely with health experts to better understand the implications for Canadians and will ensure there are no adverse effects on the supply or cost of prescription drugs in Canada," the minister said in a media statement.
If Trump's plan becomes a reality, it could be the largest change in U.S. health care policy since Obamacare. But while it could be good news for Americans struggling to afford prescriptions, concerns remain about the risk of drug shortages in Canada.
The Reuters news agency uncovered Canadian government documents earlier this month showing Ottawa opposes any American plan to lower its drug prices through accessing Canadian supply.
"Canada does not support actions that could adversely affect the supply of prescription drugs in Canada and potentially raise costs of prescription drugs for Canadians," says an April briefing note for Canadian officials Reuters obtained under freedom of information laws.
The document instructs Canadian officials to say that "importing drugs from Canada is probably not your silver bullet."
The documents also cite a 2010 study which estimates that if 10 per cent of American prescriptions were filled across the border, Canada's drug supply would run out in 224 days. . . .
And there's this from the Kaiser Health News' Border Fight: Trump’s Plan To Import Cheaper Drugs From Canada Faces Hurdles
The Canadian Pharmacists Association called on the Canadian government to oppose the importation plan, arguing that it could cause a shortage of drugs there. Even if Canada were willing to help — a big if — it’s unlikely the country of 37 million people would be big enough to help in a big way. (California alone has 40 million people.) [emphasis added]
“It is important to recognize that Canada’s market for pharmaceuticals is too small to have any real impact on U.S. drug prices,” Kirsten Hillman, Canada’s acting ambassador to the U.S., said in a statement following her meeting in November with Joe Grogan, Trump’s domestic policy chief. . . .
In short, there isn't enough Canadian socialism to go around for the United States. Perhaps the Minnesota Senate Republicans might consider honestly growing some of our own right here in the US of A, were calling one's opponents "socialists" not part of the anti-Democrat play book these chuckleheads have been repeating endlessly for the pass months--
Oh heck, the last 90 years.
Graphic: Drug costs, via Fox 43's U.S. falls behind world for cost of prescription drugs, January 13, 2020.
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