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Helping Americans Get The Truth About Prescription Drug Savings
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Lower Cost and Safe Foreign Drugs: An Inconvenient Truth?

While it’s a life (and wallet) saver for millions of Americans, it seems to me that safe personal drug importation is an inconvenient truth for the U.S. Food and Drug Administration. A couple of weeks ago, The New York Times published a Letter to the Editor, “Unsafe Foreign Drugs,” by FDA Deputy Commissioner Howard Sklamberg as a response to my op-ed. His letter didn’t refute the gist of my position: the FDA and other regulators should not scare Americans or fool policymakers into believing that genuine medications purchased by Americans from licensed pharmacies in Canada and other countries are as dangerous as counterfeit drugs.

Mr. Sklamberg wrote, “Gabriel Levitt criticizes the Food and Drug Administration’s position that unapproved foreign drugs pose the same health risks as counterfeit drugs.” In fact, I do more than criticize FDA’s position. Their position is false and illogical. When FDA talks about “foreign unapproved drugs,” it often means real medication available in foreign pharmacies. That medication is either exactly the same as the medication sold here or a foreign version with the same active ingredients as medication sold here. When FDA talks about “counterfeit drugs,” they generally mean fake medication: products sold by criminals that fool people into believing that they were manufactured legally. In other words, it’s medication not licensed for sale in any country because the manufacturers – “counterfeiters” – were not authorized by any regulatory authority to make the drug. Real medication that is made under good manufactured practices and properly prescribed to a patient is almost always safe and effective. Fake (counterfeit) medication is almost never safe.  For those reasons, claiming that drugs sold from pharmacies in other countries are as dangerous as counterfeit drugs is ridiculous.

Mr. Sklamberg cites the National Association of Boards of Pharmacy’s (NABP) data that only “3 percent of online pharmacies appear to meet state and federal laws” to show that most drug-selling websites are dangerous.  What he doesn’t tell you is that the 97% of online pharmacies which fall outside this scope includes safe pharmacies, for example,  licensed Canadian pharmacies in Manitoba that sell to Americans – in conformity with all Canada’s laws and rules. The NABP considers these “rogue” online pharmacies. Since the NABP represents U.S. boards of pharmacy, which are in turn heavily self-regulated by U.S. pharmacy interests, referring to all lower cost non-U.S. online pharmacies that sell to Americans as “rogue” appears commercially motivated. Furthermore, NABP takes considerable funding from drug companies for programs related to Internet pharmacy regulation and consumer communications, which also casts doubt on their independence.

Mr. Sklamberg writes: “Many sellers of unapproved foreign drugs falsely represent that they are from Canada to give the illusion that consumers are getting the same drugs approved for use in Canada.” That’s true; it is a problem, but that doesn’t mean there aren’t exceedingly safe non-U.S. online pharmacies. As we’ve explained on this blog, there are reputable Canadian pharmacies that have partnered with licensed pharmacies in other countries. Compare that to fake “Canadian” online pharmacies that publish the maple leaf and wave the Canadian flag. These are unethical, unsafe, and unrepentant operators often located in Russia and Eastern Europe.  The NABP conflates the two kinds of websites, strikingly similar to FDA’s conflation of foreign, but “real,” medications with counterfeit drugs.  If you want to find ones selling real medication, pursuant to a real prescription, dispensed by real licensed pharmacists, look for PharmacyChecker.com verified online pharmacies at http://www.pharmacychecker.com/online-pharmacy-ratings.asp.

What consumers want and need is real information on which online pharmacies sell genuine prescription drugs, dispensed safely by licensed pharmacists, for the lowest prices. That’s why Americans who choose to order outside the U.S. benefit from the information provided by PharmacyChecker.com.

To his defense, Mr. Sklamberg is an employee of the FDA and therefore is in the service of a bad law that restricts Americans from buying lower cost medications internationally. Hopefully he decides the best course for the public health is to encourage his agency to use its regulatory discretion to expand access to affordable medication internationally. FDA has considerable regulatory flexibility to do so.

And perhaps FDA is listening. My op-ed cited a particularly concerning provision of U.S. law, Section 708 of the Food and Drug Safety and Innovation Act, which facilitates the ability of regulators to destroy personally imported medication.  Section 708 cannot go into effect until regulations are drafted and available for public comment on the due process provided to Americans whose medication orders are seized. The FDA’s website identifies April 18th as the date it planned to publish the regulations, and that date has come and gone with no sign of their publication!

Maybe the FDA’s delay is due to the 8,000+ Americans who petitioned them to make sure those regulations don’t impede their access to prescribed medications. I’ll leave you with a few comments posted to that petition explaining why Americans depend on safe personal drug importation and should have access to it:

CT Robertsson Jr — DENTON, TX

I am 72 yrs old, take several medications, and am likely to need others in the future. The price for some of my current drugs is criminal. Americans should cease being the personal property of drug companies who have billions to spend on political influence. If we’re all about “freedom” and “competition”, then let’s act like it.

Barbara Simpson — MCKINNEY, TX

I cannot afford my medications at the price American Pharmacies charge. If I am unable to obtain them from Canada at a much lower price it will mean I will have to go without my medications.

Ellen Renee Dill — SMYRNA, GA

I am on a fixed income. My insurance doesn’t cover every drug prescribed.

Michael Catalanello — PONCHATOULA, LA

It’s a freedom issue.

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Generic Drug Price Gouging Theory

It seems Americans are increasingly showing up at their neighborhood pharmacies to find out that their medications’ prices have increased exponentially, by as much as 100, 200, 300, 600%…2500%! Believe me, I’m not exaggerating. In an article with a similar title as this blog post, called “Drug Price Gouging,” Steve DeFillippo brings us two examples of sickening drug price spikes. In one instance, a Mr. Gary Loser showed up at the pharmacy only to find that the price of his prescription drug went from $5.50 to $34.50 – an increase of 600%. Mr. DeFillippo then one upped Mr. Loser by recounting his drug price blast-off, when the price of his medication, Nadalol, went from $10 to $252 for a  for a 90 day supply – a 2500% increase!

Americans frequently, and usually with good reason, blast big brand-name drug companies, like Eli Lilly, Merck, and Pfizer for charging much higher prices domestically than internationally. In this case we can’t slam big pharma because the medication at issue, Nadolol, is generic and has been around for 40 years. Generic drugs are usually pursued by consumers because their prices are so low. Moreover, generic drugs are usually less expensive in the U.S. than in Canada and many other countries.

So what the heck is up?

The “theory” I’m proposing is more or less just telling you what I’ve heard anecdotally from small U.S. pharmacy owners about these insane generic drug price increases. Over the last year or so, big chain pharmacies, such as CVS and Walgreens, have started to raise generic drug prices to maximize their profits. Now their profit margin is largely the difference between their costs, the wholesale price, and what they can sell it for to individuals, the retail price. Wholesaler pharmacies have apparently realized how much money the big U.S. pharmacy corporations are making on the large profit margins from some generic drugs. These wholesalers want a bigger piece of the pie so they are raising their prices, too. When that happens, good ole’ mom and pop pharmacies, ones that have tried to keep prices down, have to raise their prices, too. So it’s a vicious spiral.

You often don’t have to pay those crazy high prices but you’ve got to shop around. For instance, Nadolol 20mg can be purchased for much less, 100 pills for $52.22, using a prescription drug discount card at a local U.S. pharmacy.

I recommend calling your local pharmacy before you go pick up your medication. If the price is too high then go elsewhere to avoid getting gouged.

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CVS’ New Policy on Smokes Reminds Me of Its Past Support for Drug Importation

Let’s give a big round of applause to CVS, the second largest chain pharmacy (behind Walgreens), for its decision to stop selling cigarettes and other tobacco products! To its credit, CVS is not being overly self-righteous, as it largely attributes the policy change as necessary to accommodate legal restrictions on tobacco sales in places where healthcare services are provided: this is in view of its plans to open up more healthcare clinics in its pharmacies throughout the country. So, come October, as per the company’s plans press release, Americans will no longer be able to buy cigarettes or other tobacco products at any of the 7,000-plus CVS stores nationwide.

Unfortunately, removing tobacco products from CVS’ shelves won’t help Americans afford their medicine. According to a survey by Consumer Reports, CVS has the highest drug prices (Costco had the lowest prices, especially on generics). While executives at U.S. pharmacy corporations have steadfastly opposed reforming drug importation laws to bring down drug costs, CVS’ former Chairman and CEO, Thomas Ryan, bravely supported it. To quote Mr. Ryan:

While many in our industry believe that importation is a fundamentally flawed concept and oppose it without exception, I have come to a slightly different view…Millions of Americans already have opted to import drugs because they can’t afford not to. We owe it to them to face this issue head on and not look the other way.

 

That statement was provided by Mr. Ryan in 2004. Since that time, access to affordable medication in the U.S. has only become more difficult due to higher drug prices, and Americans continue to personally import their medication, often from international online pharmacies.

The reason that those online pharmacies are a lifeline is provided by none other than…CVS! CVS/Caremark surveyed their pharmacists about a year ago; 61% cited high drug costs as the number one reason Americans don’t take their meds. Canadian and other foreign pharmacies have much lower prices and so Americans need them.

To be intellectually honest, Mr. Ryan’s idea was not for Americans to buy directly from Canadian or other foreign pharmacies but for CVS to import less expensive medication from verified foreign wholesale pharmacies and then sell it to Americans. Not a bad idea to help bring down drug costs, while keeping American pharmacists employed and corporate profits humming. Thus, understandably, Mr. Ryan’s position was dedicated to the public health and his business interests.

The heart and soul of Mr. Ryan’s position, however, is the public health alone – and not business interests. Once again, he said: “Millions of Americans already have opted to import drugs because they can’t afford not to. We owe it to them to face this issue head on and not look the other way.” They opt to import because brand name drugs are often 90% less expensive internationally. That’s why it’s best to help Americans safely buy medications where they can best afford it instead of looking the other way.

So you can put out that cigarette, get your flu shots from CVS, your generics from Costco and your brand name drugs overseas!

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