Canada, Ontario government plan to lower generic drug prices

The government of Canada's Ontario Province has announced this week that it is lowering generic drug prices and making improvements to the province's drug system to benefit all Ontarians.

The Ministry of Health and Long-Term Care says these improvements include:

' Lowering the price of most generic drugs by at least 50%.
' Eliminating so-called 'professional allowances' - payments generic drug companies make to pharmacy owners in exchange for stocking their products.
' Supporting access to pharmacy services in rural communities by increasing the dispensing fees paid to rural pharmacies by as much as C$5 ($4.76) per prescription filled.
' Expanding the MedsCheck program to assist people with diabetes, long-term care home residents and people who have difficulty travelling to their local pharmacy.
' Creating a transition fund to assist pharmacies in adapting to the fairer drug system.

The changes, which are part of the government's Open Ontario plan, will begin to take effect on July 1, 2010.