Article from today's Los Angeles Times. This will
help many of our members save money!
U.S. TO ALLOW CANADIAN DRUG IMPORTS
The government will stop seizing pharmacies'
shipments and instead conduct sample tests.
By Lisa Girion, Times Staff Writer
October 4, 2006
The federal government plans to halt a
controversial crackdown on discount drugs mailed
from Canadian pharmacies to U.S. customers,
removing a significant hurdle to Americans buying
cheaper medications from abroad.
The Department of Homeland Security, which
operates the Customs and Border Protection
agency, disclosed this week that it would halt
confiscation of Canadian drugs Monday and instead
conduct random sampling to identify counterfeit and unsafe drugs.
ADVERTISEMENTPopular medications such as Lipitor
and Fosamax can be 30% to 80% cheaper from Canada
and other countries, surveys have shown. But the
U.S. government was confiscating as much as 20% of the shipments this year.
The move reverses a policy that began last
November around the time enrollment began for the
Medicare drug plan. U.S. officials said the
Canadian shipments had been confiscated out of
concerns about the drugs' safety, but consumer
advocates and others contended that the crackdown
was an effort to limit competition in the
pharmaceutical market and force seniors to sign
up for new Medicare plans and pay higher prices for drugs from U.S. pharmacies.
The new testing policy may be a response to
criticism that the government has offered little
evidence for its safety concerns about foreign mail-order drugs.
The change comes as millions of seniors on
Medicare drug plans were expected to hit the
"doughnut hole." That is the gap in coverage
created by Medicare law that requires enrollees
to pay the full cost after their total annual
drug spending exceeds $2,250. Coverage kicks in
again if annual drug expenses hit $5,100.
As a result, many low-income seniors were
considering going without needed medications
through the end of the year, advocates said.
The change in customs' practices "could have a
huge impact," said Jodi Reid, director of the
California Alliance for Retired Americans.
"People were concerned that they might not get
their drugs because they were getting seized,"
Reid said. "This does open that option again for
people who were trying to figure out how to get
their medications to manage their health at a price they can afford."
One Central California woman whose blood pressure
medication was seized a few months ago said she
was relieved that she might not have to worry about that at least for now.
"I hope that it continues because so many people
are in need of the ability to purchase
maintenance medications and life-sustaining
medications at more affordable prices," said the
woman, who asked that her name not be used. "Some
of these medications are $3, $4, $10 a pill."
Although it is illegal for individuals to import
pharmaceuticals to take advantage of price
differences, the Food and Drug Administration
historically had turned a blind eye to personal
purchases of nonnarcotic prescription drugs from
places such as Canada and Mexico in shipments of
as much as three months' worth.
That changed Nov. 17 when customs began a quiet
crackdown on foreign mail-order drugs. By some
estimates, more than 40,000 packages were
interdicted. Canadian mail-order pharmacies said
seizures jumped to a peak this year of 20% of
their U.S. shipments, up from 3% to 5%. They said
seizures declined after the crackdown was disclosed in media reports.
Seniors complained that they were failing to
receive needed medications, and members of
Congress who favor the importation of cheap drugs
for senior constituents criticized the agency for
failing to adequately warn people of the crackdown.
Late Monday, customs officials sent an e-mail to
some members of Congress that it would be
abandoning the seizure policy. Instead of the
broad effort, the e-mail said the agency would
sample and test mail-order medications for
counterfeits and ineffective ingredients on
"randomly generated days throughout the fiscal
year." The analysis, it said, would help
determine the source countries of problem drugs and shape future enforcement.
A Homeland Security spokeswoman would not discuss
the change in policy, but she issued a statement
saying, "While we are reversing this policy,
[Customs and Border Protection] remains
committed, in cooperation with the FDA, to
protecting the American public from unsafe and
ineffective medications. We will be focusing our
resources to best protect the American public."
A spokeswoman for the FDA said the agency had no
comment because it had not been officially informed of the change.
One Canadian mail-order pharmacy said U.S. orders
had dropped 30% this year because seniors were
signing up for Medicare plans and had been scared
off by the increase in seizures.
Bill Pigden, a spokesman for Winnipeg,
Canada-based CanAmerica Global Health Services,
said that the pharmacy already had seen orders
pick up as seniors fell into the so-called
doughnut hole, and that he expected that trend to
increase with the change in seizure policy.
Sen. Bill Nelson (D-Fla.) called the change a "huge victory."
"For nearly a year the White House has been
punishing seniors for filling their prescriptions
at lower Canadian prices," he said. "Now it looks
like the government is getting out of the
business of harassing these consumers."
In Congress, political momentum in favor of
allowing personal importation of prescription
medications is building. House and Senate
Republicans recently reached an agreement that
would allow Americans to bring a 90-day supply of
drugs across the border from Canada. But, in
negotiations over the language of the Homeland
Security spending bill, the conferees stopped
short of doing the same for medications purchased via the Internet.