All actions have consequences

31 Aug
2004

Canadian sites look overseas for drug supply

But during the last year, U.S. customers using Canadian websites have faced increasing difficulty getting top-selling medications such as Celebrex to treat arthritis and the antidepressant Effexor. That’s because several of the world’s biggest pharmaceutical makers are restricting supply to online Canadian pharmacies that ship to the U.S., leading to delays of several weeks for many customers. In severe cases, some sites have stopped accepting new clients looking for the hardest-to-get medications.

Faced with the growing shortages, Canadian Internet pharmacies are looking abroad themselves and increasingly selling U.S. consumers drugs that originate through pharmacies in England, Fiji, Israel and Chile. Depending on the country, that is raising concerns that U.S. consumers — many of them senior citizens — are getting medications from countries with less-stringent safety regulations than those in North America.

“It’s a potentially scary situation” that a significant number of Canada-to-U.S. prescriptions could soon originate from other countries, says Marv Shepherd, a pharmacy professor at the University of Texas, Austin, and an expert in the field of cross-border prescription sales. It’s particularly worrisome if Canadian companies “start to partner up with some of the more shaky countries,” he says.

Shepherd says that most U.S. consumers believe Canadian drugs are safe, but that could change if they start running into problems with drugs from other countries.

Robert Heinlein coined a word in 1966 – TANSTAAFL (there ain’t no such thing as a free lunch). Those who thought that importing drugs from Canada would solve the pharmaceutical cost problem are guilty of level 1 thinking. As demand for drugs from Canada increases, the Canadian pharmacies must develop supply problems. This is simple economics. Certainly the pharmaceutical industry understands this, and will eventually limit supply to Canada. Thus Canadian pharmacies look elsewhere for product.

You should not treat a deep abdominal knife wound with a bandaid. The Canadian “solution” makes for good politics, but bad policy. This “solution” is destined to fail.

We need higher level thinking to better understand pharmaceutical costs and our resultant expenditures. The “wonder drugs” are not created by spontaneous combustion. They result from expensive research.

Physicians need to understand newer drugs very well. We need to understand when an expensive drug is a better alternative, and when a cheaper generic works as well.

We need the NIH (and associated Institutes) to sponsor important drug studies. Relying on the pharmaceutical industry to fund drug studies seems cost effective in the short run, but from a long term perspective, such studies are rarely designed to answer the important cost questions.

We must start considering costs and benefits when prescribing. To do this, we need better data.

But we must treat the disease not the symptom. Importing drugs from Canada is treating a symptom, but not addressing the disease. The disease is intelligent drug prescribing. And we (the US) should take the lead in providing the research needed to develop intelligent prescribing.

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Related posts:

  1. Canadian drug importation is not the answer
  2. Robert Goldberg on Canadian drug importation
  3. On Canadian drugs
  4. Heroes and villains – why costs accelerate
  5. Politics and drug importation

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7 Responses to All actions have consequences

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DB's Medical Rants » Whose your drug store?

November 11th, 2004 at 5:44 pm

[...] e as minister. I have discussed this issue often in the past – see especially this rant – All actions have consequences Posted by rcentor @ 11:43 [...]

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DB's Medical Rants » Whose your drug store?

November 11th, 2004 at 5:44 pm

[...] e as minister. I have discussed this issue often in the past – see especially this rant – All actions have consequences Posted by rcentor @ 11:43 [...]

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Bernie Simon

August 31st, 2004 at 9:33 pm

If drug companies restrict the sale of drugs to Canada, this is probably an antitrust violation. They’re being sued by California pharmacies for their efforts to restrict the sale of Canadian drugs already.

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chris

September 1st, 2004 at 12:55 am

I think the California lawsuit is pretty much just grandstanding. I live in California, and have a relative who works in the pharmaceutical industry. I think the suit is also supposed to be for “unfair pricing practices”, not restriction of supply.

I’ve heard that in order to prove price discrimination though, it can only be compared within the nation. You can’t sue someone for selling goods to another nation at a different price, but you can sue someone for selling goods to Georgia for a lower price than Virginia.

I could be wrong on the merits of the case, but its basically people trying to get attention for the situation. Its not a case to worry about. The fact that it names so many defendants and has gotten so little press kind of denotes its chances of success. If it were a plausible case, you’d see drug companies scrambling and the press jumping all over it.

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swift

September 1st, 2004 at 7:22 pm

Intelligent drug prescribing is the problem, huh? No question, too many physicians write prescriptions for drugs that are either unnecessary or are more expensive than another drug that works just as well.

But to suggest that errors in prescribing practices are the entire impetus driving drug re-importation from Canada and elsewhere turns a blind eye to exhorbitant domestic pricing. Don’t you think pricing is even worth mentioning as part of the problem?

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Bernie Simon

September 1st, 2004 at 8:41 pm

Robert Heinlein coined a word in 1966 – TANSTAAFL (there ain’t no such thing as a free lunch).

There is such a thing as a free lunch. I got one a week ago.

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In the Pipeline

September 1st, 2004 at 9:07 pm

Around and About
Tonight, a few varied links from around the blogging world, which only serve to remind me that I need to reconstitute my shattered blogroll: Via Chad Orzel I read this note from Preposterous Universe on publication of clinical trial data,…

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