The new pan-Canadian approach to generic drug purchasing is estimated to save Prince Edward Island $1.2 million, says Premier Robert Ghiz.
“Our goal is to achieve better value for Islanders on generic drugs,” said Premier Ghiz.
Today, provinces and territories announced that they will be working together through a coordinated approach to price setting for six widely used generic drugs, which represent approximately 20 per cent of the publicly funded spending on generic drugs in Canada. This joint approach will result in the lowest generic prices achieved to date in Canada, and consistent with the price for these drugs on the international market.
The announcement is in response to the direction Premiers provided to the Health Care Innovation Working Group at the July 2012 meeting of the Council of the Federation, to move forward with an initiative to achieve better prices for generic drugs. The Working Group is composed of provincial and territorial Ministers of Health and led by Saskatchewan Premier Brad Wall and Prince Edward Island Premier Robert Ghiz.
“Premier Ghiz and Premier Wall have shown tremendous leadership to the Health Care Innovation Working Group. Through this initiative, we are strengthening our programs for Islanders on generic drug pricing,” said Minister of Health and Wellness Doug Currie. “The savings from today’s announcement will be realigned and invested back into our provincial formulary and to improve access for all Islanders.”
Today’s announcement builds on the province’s continued efforts to enhance Prince Edward Island’s drug programs. Government has been working to enhance drug coverage and make public programs more equitable and accessible. Over the past five years, government’s investment in drug programs has increased by approximately 42 per cent, to a total of $33.4 million this fiscal year; and has added or expanded 154 drugs to the provincial formulary. In 2012, Government enacted the Drug Product Interchangeability and Pricing Act effectively reducing the cost of generic drugs for the province’s public programs.
BACKGROUNDER:
The six generic drugs to be priced at 18 per cent of brand are:
• Atorvastatin – used to treat high cholesterol
• Ramipril – used to treat blood pressure and other cardiovascular conditions
• Venlafaxine – used to treat depression and other mental health conditions
• Amlodipine – used to treat high blood pressure and angina
• Omeprazole – used to treat a variety of gastrointestinal conditions
• Rabeprazole – used to treat a variety of gastrointestinal conditions