Health committee  Thank you for the question. I should clarify. I'm here today representing the off-patent industry—the generic and biosimilar industry. We fill 75% of prescriptions for about 20% of the costs, so 80% of the costs don't go through the companies that we represent here today. However, as I have said twice already, we have a national system on pricing.

Health committee  Thank you. We would remove the term. We don't like the term. I mentioned that we negotiate our prices with provincial governments. The three large federal plans are included in those negotiations. Our prices apply to all Canadians. Publicly and privately reimbursed prescriptions are all at the same price for generic medicines.

Health committee  Thank you. We do not think it will. We do not think it should. We have negotiated a very broad agreement with the pan-Canadian Pharmaceutical Alliance that covers public drug plans. It's the same price that private insurers pay. It is a price negotiated with experts from the provinces that is intended to provide good savings, good prices to Canadians and a sustainable revenue base for our industry, so no, we don't think it will provide savings.

Health committee  Thank you, Mr. Chair. The Canadian Generic Pharmaceutical Association and its Biosimilars Canada division would like to thank the committee members for this opportunity to contribute to the study of Bill C‑64, An Act respecting pharmacare. Making medicines more affordable and accessible is the key value proposition of generic and biosimilar medicines, which today are used to fill more than three-quarters of all prescriptions in Canada.

Health committee  Well, I'm happy to answer again. Just quickly, we in the generic pharmaceutical industry have worked throughout this very closely with distributors and pharmacies in Canada, and with our own member companies. Our own member companies are, as was said, required to report all shortages wherever there has been a shortage.

Health committee  The issue of drug shortages has been an issue, for the last five years and more, worldwide. It's not just a Canadian issue. I think part of it has been the interaction of increased regulatory scrutiny around the world. Agencies have gone to locations where they hadn't before. I think that's a good thing.

Health committee  Yes, we have the largest R and D company in Canada, as Peter mentioned. We also have the largest company in Quebec. I think that while we are focused on the vaccine, our message today is we have thought about this. We put out a blueprint on how we ensure that three-quarters of the medicines that are critical, that are genericized, continue to flow into Canada so other countries can't put up export blocks in other ways.

Health committee  I won't speak for Gilead because they're not a member of our group, but in general the trials on remdesivir are ongoing. It appears that it has had some effect in reducing the morbidity of COVID-19, so that's excellent. I think when the approvals are forthcoming stating that it is an effective treatment, we'll see whether Gilead is making the product available by licensing.

Health committee  We've been clear. The commitment on intellectual property has not been reached for many years now. I think that's a matter for IMC to address with the government. We have particularly raised this point when there have been discussions in international trade agreements, where countries like the United States, or the European Commission, have pressured Canada to increase intellectual property protection.

Health committee  Yes, we made that comment. The government moved with emergency measures in March when the COVID shock first hit. I think while we support that legislation, to be very honest, it has not been our focus. Our focus has been on the 75% of the medicines that we are now producing and that we are able to continue to manufacture and provide to Canadians.

Health committee  Thanks, Peter. I know the clerk has circulated to members a summary of the CGPA blueprint for a sustainable supply of prescription medicines for Canadians. The CGPA developed this blueprint based on some of the lessons learned during the first three months of the pandemic. It outlines our recommendations to make the prescription drug supply chain even stronger and more secure for Canadians.

International Trade committee  That's correct.

International Trade committee  Well, that's just maintaining what we can already do, because right now, after 20-year patents expire, we can manufacture, so we can export. This means that during that two-year period, we can manufacture for export.

International Trade committee  That is true. The Europeans were pushing for a five-year extension, which would have been a 25-year patent. The CETA negotiators managed to mitigate that, to reduce it to a two-year extension. That's what the bill says, and we believe it should be no longer than that. As for the Ontario government, our sector has many of its jobs in Ontario.

International Trade committee  That's a very good question. That is a really critical aspect of what we're hoping will happen as a result of CETA. That, as I mentioned earlier, is going to occur with regulatory changes that come under this patent-medicine notice-of-compliance regime. These regulations are incredibly powerful.