Will NH import Canadian drugs?

This year state legislators are considering SB 685, a proposal to import prescription drugs from Canada into New Hampshire.  

State, federal policymakers work on Canadian drug imports 

The federal government recently announced it would allow states to import many brand name drugs from Canada with federal oversight.  

Maine and Vermont have already passed legislation greenlighting Canadian drug imports.  

Notably, SB 685 is sponsored by Democratic state senator and gubernatorial candidate Dan Feltes, but Republican Gov. Sununu himself testified at a recent hearing in support of the legislation.  

If SB 685 becomes law, the New Hampshire Department of Health and Human Services will have to work out the details of the wholesale importation program and get approval from the federal government.  

How would Canadian drugs save money? 

Because the Canadian government negotiates directly with pharmaceutical companies on behalf of all its citizens, Canadians are able to buy drugs at a lower price than individuals in the United States.  Theoretically U.S. states could piggyback on those savings by buying drugs in Canada and then selling them to U.S. residents. 

Advocates for Canadian imports 

New Hampshire has among the highest health care costs in terms of premiums, copays, deductibles, and prescription drugs in the U.S.   

At the public hearing for SB 685 Sen. Feltes testified that prescription drug costs increased roughly 60% between 2012 and 2017. 

At the hearing Gov. Sununu similarly testified, “Skyrocketing drug prices are harming the health and well-being of Granite State families, especially our seniors who are on fixed incomes and can least afford spikes in costs.” 

Cheaper drugs from Canada might help New Hampshire residents cover costs. 

Opponents of Canadian imports 

Opponents of SB 685 argue that importing drugs from Canada isn’t guaranteed to lower costs.  Federal law prohibits the importation of biologic drugs such as insulin, so many expensive prescription drugs won’t be affected.   

Canadian officials oppose the idea because they believe it could lead to drug shortages in Canada—followed by more price increases.  The country has relatively little drug manufacturing and would be unable to increase its output to meet the demand from American consumers.  

Lastly, there are unknown startup costs.  The time and expense of setting up drug importation programs might cancel out cheaper prices.