Medicare Part D "cuts demand" for web drugs

2 April 2006

A report by a Chicago, USA-based think-tank examines the claim that the introdiction of the Medicare Part D program for retired citizens has reduced demand for imported medicines from Canada "up to 30%."

Diana Ernst, writing in the Heartland Institute's journal, finds a series of conflicting interests and hopes about the new prescription drug benefit. On the one hand, Canadian Internet pharmacists insist that it is "definitely not accurate" to claim a fall of 30% in demand, although the claim that any fall since January 1, could be a "seasonal issue," as suggested by Andy Troszok, president of the Canadian International Pharmacy Association, seems implausible, given that winter is generally a period of high demand for medication.

Canadian drug exporters have a clear interest in any reports that the Medicare Part D scheme is failing to deliver drugs, or that the savings are less than for importation via the Internet. A particular bone of contention is the American Association for Retired People's claims that enrollees on their Medicare prescription plan can save more than by importation (Marketletter January 16).

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