House Approves Bill Easing Imports of Less Expensive Drugs
In a major defeat for the pharmaceutical industry, the House voted by a wide margin early this morning to approve a measure that would make it easier for Americans to import inexpensive prescription medicines from Canada and Europe.
The vote, 243-186, came shortly before 3 a.m., after a fiery hour-long debate that capped a long and stressful day for lawmakers, who are rushing to finish their business by tonight so they can leave the Capitol to start their month-long summer recess.
The outcome was a surprise. Until the last minute, lawmakers on both sides were saying the vote would be too close to call. Even as the votes were being cast, some lawmakers held back, to see which way their colleagues were voting.
“I think this is the Congress saying, ?We hear you, drug prices are too high,” said Representative Jo Ann H. Emerson, Republican of Missouri, who forced the vote by extracting a promise from the House leadership in exchange for favoring a broader Medicare prescription drug benefit that is a high priority of the White House. She added, “It’s time we stopped subsidizing the world and bring fairness and fair prices to Americans.”
The measure now becomes the official position of the House in its negotiations with the Senate to reconcile differences in their two versions of the prescription drug legislation. But its fate is uncertain; on Thursday, 53 senators released a letter saying they oppose the provision. And it is unclear how hard the House representatives in the Medicare negotiations will fight for it.
The Republican leadership of the House worked vigorously against the bill, as did the drug manufacturers–who stand to lose millions if it becomes law–and the Food and Drug Administration, whose officials argued the measure would jeopardize safety. The vote did not fall along party lines; rather, the debate turned on whether lawmakers were willing to accept the drug makers’ argument that the measure would harm patients and defy free trade by allow the importation of not only drugs, but price controls.
“This is an interesting debate, because its not between the Democrats and the Republicans” said Representative Ted Strickland, Democrat of Ohio, who supported the measure. He added, “It’s between the people and the pharmaceutical companies.”
About this bill, I just do not know. Read my earlier post (scroll down, it is the 3rd post down from this one) on the pharmaceutical industry. I am confused.
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{ 3 comments }
In part, the problem is not all that abstruse. The Canadian government, like some others, arbitrates the price they will pay mostly on the basis of production and distribution costs. The pharmas only fight this half-heartedly, as they have always recuperated development and research costs from US customers. Allowing re-import will mean little or no money for R&D, unless the pharmas stand up to such as Canada and say “if you won’t defray our costs, do without the product.”
If every buyer was paying… If Canada and US were treated the same way by the pharmas, I suspect a price cut to be feasible – not necessarily done, mind, but a practical possibility.
More –
* Rolling the Rx Highway* — While not all bargains are of that magnitude, in general prescription drug prices run substantially less North of the border, than in the lower 48, or in Alaska or Hawaii, for that matter. But only if you can get them. … And that’s why the border crossings are on a two way street. For not only do Americans go north, but Canadians are regularly heading south — not for lower prices but to take advantage of medical care they can’t get up there.
Don’t worry about it. It’s not going to pass.
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