FDA Allows First Ever Canadian Drug Imports To U.S., Report Says

Topline The Food and Drug Administration will allow Florida to import medications from Canada, following decades of attempts by states in the U.S. to purchase drugs in bulk at a cheaper price from the country, according to the New York Times. TKTK Key Facts Florida will be allowed to purchase medicines in bulk for the state’s Medicaid program, government clinics and prisons from Canadian wholesalers, an FDA official told the Times.

Florida is required to report details about what drugs the state plans to import and whether those drugs are potent and not counterfeit before distributing them to consumers, according to the agency. The FDA’s decision concludes a lawsuit filed by the state, after Gov. Ron DeSantis (R) argued the FDA caused a “reckless delay” in approving Florida’s application for the importation program.

The FDA did not immediately respond to a request for comment from Forbes. Big Number $150 million. That’s how much Florida estimates the new program could save the state by purchasing medicines from Canadian pharmacies, including HIV, AIDS, diabetes, hepatitis C and psychiatric medications, among others.

What To Watch For Other states have applied for the program, including Colorado, New Hampshire and Vermont. New Hampshire’s application was rejected last year because the state did not identify a Canadian wholesaler. Vermont’s application was determined to be incomplete, though it is monitoring how other states’ applications are approved before resubmitting, a state official told the New York Times.

Colorado’s application is pending . Key Background The FDA approved plans in 2020 that would allow states to establish programs to import certain prescription drugs from Canada. The agency argued the programs would result in a “significant reduction” in prescription drug prices in the U.S. The plans were introduced by lawmakers in the early 2000s, though their implementation was delayed after some health officials cited safety concerns.

States were allowed to apply for approval of their importation programs shortly after the FDA’s approval. President Joe Biden ordered the agency to continue working with states amid delays in the application approval process, arguing the programs would cut drug prices for American consumers. Tangent The Canadian government issued a rule in 2020 that would prevent domestic manufacturers and wholesalers from exporting drugs that are in low supply.

Canadian officials argued plans by the U.S. to import drugs from the country would effectively increase drug prices in Canada or create shortages, according to Reuters. Further Reading FDA To Issue First Approval For Mass Drug Imports To States From Canada ( New York Times ).