Efforts to lower the costs of generic drugs in Quebec have paid off, as Quebec’s Health Minister Gaetan Barrette announced an agreement in principle had been reached between the province and the Canadian Generic Pharmaceutical Association (CGPA).
Under the deal, Quebec will save in excess of $1.5 billion over five years or $300 million annually, on the cost of generic drugs.
Savings that will trickle down to the consumer, according to Barrette.
“What will happen is a reduction of price on both the public sector and the private sector,” he said.
“Quebecers will see on their bill that the price of the generic drugs will go down, as of this fall.”
The health minister promised the money saved will be redistributed into the health system.
“The money we are saving today, because of that agreement, will be re-invested fully in services in our publicly funded health care,” he told reporters at a news conference in Montreal Sunday.
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The government currently spends over $800 million annually on generic drugs for its public drug plan, according to Barrette.
The modalities of the new agreement are expected to come into effect Oct. 1, 2017.