Ontario is all set to reduce the generic drug prices. Generics are those medications whose patent expire and then they could be manufactured for a small sum, according to the dose.
The pharmacies in Canada charge a huge markup price for these drugs and the methods of pricing vary. Even the patients have to pay for the price, which is negotiated between the manufacturers and the pharmacies.
A report commissioned by the Health Ministry in B. C. predicted that manufacturers give approximately 40% of refund to the pharmacies. If this method turns out to be controversial, few manufacturers resort to professional allowance.
It has been stated that the pricing techniques adopted, makes the customer burdened up with the increased prices. It surely builds a lot of profits for the sellers.
Ontario's scheme is easy and simple to implement but the question arises of the delay in action. Ontario wants to set the generic drugs at 25% of cost of the brand name and the same amount will be charged by the customers during their purchase. On the other hand, 50% is charged by B. C.
Health Council of Canada said, “There is still no sense of an overall cohesive national strategy”.












