Big Pharma Blackmails Ottawa On Prices

Big Pharma Blackmails Ottawa On Prices

Big pharma blackmails Ottawa on prices for drugs it does not want to see reduced.

And these tactics are commonly used by pharmaceutical companies.

Why?

Because the profits of the world’s multinational drug companies make are almost obscene.

And needless to say they don’t want to see lower profits.

So the tactics the drug companies are using in Canada are not unique.

And the reality is that most of these companies are American controlled.

They use the same approach all over the world.

And it comes down to this.

It’s our way or the highway.

So now a battle is underway in Ottawa.

Big Pharma Blackmails Ottawa On Prices

It’s between the big drug companies and the Trudeau government.

The outcome will determine how much we end up paying for our drugs.

But the government has developed a plan that would lower patented drug prices.

And there is a reason for that.

After the United States drug prices in Canada are the second-highest in the world.

“Drug companies understand very well what’s at stake, and they’re massively mobilizing to make sure nothing happens,” says Marc-André Gagnon in an interview with the CBC.

He is a pharmaceutical policy researcher at Carleton University.

And the numbers tell the story.

A 20 per cent drop in drug prices would result in major revenue losses.

One estimate has them falling by up to $26 billion over a 10-year period.

Big Pharma Blackmails Ottawa On Prices

So the industry is telling Ottawa that such revenue drops would result in some drugs not being available in Canada.

Chris Halyk is the president of Janssen Canada,

It is part of Janssen Pharmaceutica, a multi-national company, owned by Johnson & Johnson, an American company.

In a letter to the government Halyk says:

“…the price reductions that are being proposed could result in it being not financially viable to launch some medicines in Canada.”

Another threat is that price decreases could lead to job losses.

“[The regulations] will have negative economic implications, leading to reduced research and development (R&D) investments, less innovation in Canada and fewer jobs in our life sciences sector,” say AstraZeneca Canada president Jamie Freedman.

But there is more cause for concern.

It is the new trade agreement signed between the United States, Mexico and Canada (USMCA).

It agrees to extend the minimum “data protection” for a group of drugs that are the fastest growing.

These drugs are known as biologics.

They treat a large range of diseases, including many cancers, arthritis and multiple sclerosis.

And their protection goes up to 10 years from eight years.

And that move will cost Canadians hundreds of millions of dollars.

Here is the full story.

So the bottom line is this – don’t expect drug prices to go lower.

If anything, they will go up.


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