Canadian government joins alliance to reduce cost of pharmaceuticals

The Canadian federal government will join a drug-buying alliance that negotiates to lower the cost of brand name and generic drugs, it has been announced.

The pan-Canadian Pharmaceutical Alliance (pCPA) has completed more than 89 negotiations on brand name drugs and achieved price reductions on 14 generic drugs which have led to combined savings of more than C$490 million ($335 million) annually for Canada's various provinces and territories.

The government joins Alberta, British Columbia, Manitoba, New Brunswick, Newfoundland and Labrador, Nova Scotia, Ontario, Quebec, Prince Edward Island, Saskatchewan and the Yukon as a participating member of the Alliance.