Cheaper,
generic copies of prescription drugs take up to four years on average
to get government approval because of red tape and federal provincial
overlaps that cost taxpayers millions of dollars a week, a new study
says. The Health Canada branch that checks the safety and effectiveness
of no name medicine is seriously under funded, often lingering over
applications for years after the brand name patent has expired, said
the study, carried out by Queen's University researchers for the
generic drug industry.
The provinces
are next in the approval process, and the time it takes them to
allow the generic medication on to their subsidized drug plans varies
dramatically. Despite its much-vaunted campaign to cut red tape,
Ontario takes by far the longest, while B.C. is the speediest of
the provincial regulators, said the report.
The researchers
tracked a sample of 34 generic products between 1995 and 1999. Just
for those medications, Canadians were spending $5.8 million extra
on pricier brand name medicine for every month of delay in getting
the generics on store shelves. "Resources must be redirected from
other parts of the health care system to pay for more expensive branded
medications, or the Canadian public must be prepared to pay more
for their health care privately," "It makes little sense."
The authors
recommend that the federal and provincial approval processes be
merged to reduce duplication and expense and make new medication
available at the same time everywhere in Canada.
Federal
and Ontario government officials said they had made great strides
in reducing the delays. They said the report's figures don't reflect
current reality.
The Canadian
Drug Manufacturers Association, whose members is generic pharmaceutical
makers and stands to profit from speedier approvals, commissioned
the study. It notes that drugs represent one of the fastest rising
expenses in the health care system, costing Canadians $9 billion
a year.
Health Canada's
Therapeutic Products Directorate ensures the drug is safe and a
faithful copy of the original. Based on the 34 generic drugs that
were followed over five years, that process takes an average of
1160 days--more than three years. The agency's budget was cut more
than 30% in the mid 1990's. Even though it now charges drug companies
fees when they apply for approval, it still doesn't have enough
staff and the turnover rate is high, researchers say. But a Health
Canada spokes-man said the directorate has cut the delay at its
level from an average of almost four years in 1995 to 17 months
last year. "Significant process has been made and continues to be made
in reducing the review time,"
After getting
federal approval, the generic firms must apply to have their drugs
listed on provincial plans, which offer free or low cost medication
to some or all of their citizens and account for about 49% of drug
sales. The drug plan listings are important for other reasons, too,
since they influence which drugs are covered by private insurers
and, in effect, determine when a drug gets on the market. The 34
generic products examined took an average of 466 days after federal
approval to get listed in Ontario. The best was by British Columbia
at 84 days.