FDA Approval of Florida’s Drug Importation from Canada: A Solution or a Controversy?

On January 5, the U.S. Food and Drug Administration (FDA) authorized the state of Florida to import medications from Canada, in a bid to lower medication prices for the state’s residents. This action drew criticism from the American Society of Health-System Pharmacists (ASHSP), which pointed out the Canadian market’s inability to provide the amount of medication needed to significantly decrease U.S. drug prices. The ASHSP is not alone in this opinion, as the Pharmaceutical Research and Manufacturers of America (PhRMA) has also voiced its objections, and is even considering legal action to block the implementation of the plan. More on this story can be found here.

Opposition to Florida’s drug importation plan isn’t limited to American entities. Fearing a sudden demand on its drug supply, the Canadian government in 2020 released a rule prohibiting the exportation of drugs that were in short supply. University of Ottawa’s Professor Amir Attaran underlined this concern, stating that a country of nearly 40 million people, like Canada, couldn’t realistically supply a state of 22 million residents, like Florida. Despite this, a majority of Americans are in favor of such measures, as seen in a Kaiser Family Foundation poll from August which revealed that eight in ten adults felt the cost of prescription medication was unreasonable.

Looking ahead, one of the key questions being raised is whether FDA’s approval of Florida’s plan will precipitate similar actions in other states. Eight states (New Mexico, Colorado, Texas, North Dakota, Wisconsin, Vermont, Maine, and New Hampshire) currently have laws allowing for drug imports, and may also seek FDA approval. Colorado has already filed an application with the FDA pending approval, while another application by New Hampshire was rejected due to a lack of identified Canadian supplier. In spite of these developments, it is clear that the high cost of prescription drugs in the U.S. is an issue that won’t be easily or quickly resolved.