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Editiorial: Drug Prices Must Come Down! PDF Print E-mail
JANUARY 2004 - Much has been reported in the press over the past few months about efforts, led by the City of Springfield, to lower the cost of prescription drugs by encouraging retirees and employees to purchase those drugs through Canadian pharmacies.

Strange as it may seem, many of the drugs, manufactured here in the US are sold in Canada for a fraction of what American consumers are being charged for the same drug. This is due to price controls put in place by the Canadian government, which limits what drug companies can charge there.

As a result, prescription drugs purchased by way of Canada are far less expensive than those purchased at your local pharmacy or mail order drug company. Not surprising, given the high cost of prescription drugs, a number of communities (as well as the state itself) are now looking into establishing a drug reimportation plan for their retirees/employees.

Unfortunately, a number of roadblocks are being thrown in the way of what seems to be a rather simple idea to save money for both retirees/employees. First off, the reimportation of prescription drugs is illegal under federal law. While Congress debates changing federal law to allow reimportation, the Federal Drug Administration adamantly claims that the practice is dangerous to consumers. However, the FDA has yet to cite specific cases or facts to back up these claims.

This rhetoric is not far removed from that of the pharmaceutical companies, which claim that drug prices must remain high in order to further promote drug research. This argument is flawed, if not an outright lie.

First, a large portion of drug research has been and continues to be paid for by the US taxpayer. In other words, we are paying high prices for the same drugs that we helped pay to develop in the first place. Second, the major pharmaceutical companies are spending upwards of $5 billion a year to market and advertise their products. This is money that can be better spent towards the ever-valuable research cited by company executives as the reason for high drug costs.

In the meantime, state and municipal officials must do all they can to take the burden off retirees. This includes looking beyond our Northern border to reputable Canadian companies, which can safely provide our members with life saving prescription drugs at a low cost.

All too often in recent years, we have witnessed what amounts to cost shifting by government officials to transfer the cost burden from the government to the insured. This practice does nothing to get to the root of the problem.

Similarly, no one should view drug reimportation as the cure to high drug prices here in the US. Recent reports have indicated that the drug companies have begun taking steps to limit the Canadian supply, thus making it difficult for the country to export the drugs back to the US. Therefore, a long-term solution must be reached.

Federal lawmakers must put politics aside and finally get tough with the pharmaceutical companies. A true accounting must take place to make sure American taxpayers are getting their money's worth and are not subsidizing drugs for the rest of the developed world. Paying sky-high prices for drugs, that the rest of the world gets at a discount, is simply unfair and can no longer be tolerated.

 
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