Thank you very much, Madam Chair.
Good afternoon, everyone. I am pleased to be here on behalf of Canada's Research-Based Pharmaceutical Companies (Rx&D).
The Standing Committee on Health plays a vital role in ensuring that wherever the federal government invests money to improve the health of Canadians, it is done in an effective, transparent and accountable manner.
We are pleased to assist you in your efforts to evaluate the effectiveness of the Common Drug Review, or CDR as it is commonly known.
We are, however, concerned when less than two business days before the hearings were to begin, the Canadian Agency for Drugs and Technologies in Health, or CADTH, issued a communiqué announcing a significant expansion of CDR. We have to ask ourselves if this usurps the work of the committee and your efforts to establish the true value of CDR.
Today I will make it clear to the members of this committee that the CDR process is, at best, a duplication and, at worst, a barrier for patients' access to medicines. I also believe it is unaccountable and lacks transparency. In short, CDR is fundamentally flawed.
Thirty percent of the funding of CDR and 80% of the funding of its umbrella agency, CADTH, comes from the federal tax dollars of hard-working Canadians. I would be more specific as to what these figures are, but we have found it almost impossible to do so. We have no idea how the federal government money is allocated, and this should be of great concern to us.
Innovative medicines and vaccines improve and save lives. They can prevent disease, reduce hospitalization and make our health care system more effective. However, to truly benefit from biopharmaceutical innovation, Canadians must have access to new medicines and vaccines as soon as they are approved by Health Canada.
One of the first steps of making a medicine available to Canadians is the Health Canada review. I would like to commend Health Canada for their efforts to reduce approval times and eliminate their backlogs, but these important gains are offset by CDR. This is counterproductive to patient health.
About 10 million Canadians are affected by CDR decisions through public drug plans, with the exception of Quebec, which, as you know, has chosen not to be part of CDR. Every time CDR says no to innovative medicine, it removes a treatment option for seniors, low-income families, and others who rely on these public drug plans. It is simply not right that so many Canadians are left behind.
Before a new medicine reaches a patient, it must be approved by Health Canada. Then CDR conducts its review, and each province and territory conducts its own review. This unnecessary duplication of effort means that patients are forced to wait longer for the medicines they need.
What we find incredibly troublesome is how CDR makes a negative listing recommendation after Health Canada has recognized the value of an innovative medicine. Let me repeat, these medicines have already been approved by Health Canada. But equally troublesome is the amount of time it takes provinces to list the drug that has received a positive recommendation from CDR.
Over the last three years, provinces have taken, and in some cases are still taking, hundreds of days to list these positively recommended drugs. Let me give you one of many examples of how CDR doesn't work in the best interests of patients. When Health Canada recognizes the value of an innovative medicine, it moves quickly and efficiently to ensure that the medicine is available to Canadians on a priority basis. This happened with a medicine known as Sutent, which is a new treatment found to be effective in battling against both gastrointestinal and kidney cancer.
Health Canada recognized the importance of this innovation to patients and fast-tracked it through a priority review. Within four months of approval by Health Canada, Quebec agreed to reimburse this new medicine for treatment of gastrointestinal cancer through the exceptional use program. Ontario also provided access to its patients suffering from gastrointestinal cancer.
What has CDR done? While the indication for gastrointestinal cancer was finally given a “list with criteria” recommendation at the end of March 2007—six months after Quebec made a decision to provide access to it—the CDR has yet to make a final recommendation for the kidney cancer indication. It means that patients are still waiting for access to a drug that was approved some eleven months ago by Health Canada.
Given that CDR is an added barrier to access, I would ask the members of this committee whether they think Canada needs three separate review processes for a single innovative medicine—Health Canada, then CDR, then the provinces.
Canadians should be the first to benefit from new medicines. An international comparative study done recently for Rx&D demonstrates this quite clearly. The authors of the study evaluated 50 listing recommendations by CDR with recommendations from other international peer agencies. They found that European countries recommend significantly more new drugs for listing than CDR recommends.
Madam Chair, it's the same molecule. It's the same science, but we have different outcomes. How can we explain this, and is this in the best interests of Canadians?
We believe the CDR places too much emphasis on cost containment and not enough on patient outcomes, but we do not need to look outside the border to find patients who have better access to innovative medicines. As mentioned earlier, Quebec is the only province that does not participate in CDR, and therefore they don't have that extra layer of duplication. They list more drugs, and patients are better off because of it.
In addition, CDR has added to the inequity in the access to medicines for Canadians. Simply put, the many Canadians who have private plans have far more choice and better access than those who are on public drug plans.
We, as a community, understand the challenges governments face to sustain funding for the health care system. We strongly believe that investing in new medicines is an investment in the health of Canadians and a stronger and more effective health care system.
Rx&D member companies also believe that all Canadian patients deserve access to the best therapies when they need them.
Madame la présidente, this committee decided to hold these public hearings, and I quote, “on the process used under the CDR to evaluate drugs and obtain your comments on the effectiveness of the CDR”. However, the agency overseeing CDR has already decided to expand, stating that it has met its objectives. In our view, this is not the case. Furthermore, it is not in the public interest to expand a process that clearly is not working.
CDR has had a regressive impact on patients' access to Health Canada-approved medicines. This is particularly true for medicines approved by Health Canada to treat serious, life-threatening, and severely debilitating illnesses and conditions under the notice of compliance and conditions policy. To date, CDR has made negative recommendations for all but two of those NOCC drugs. Therefore, Rx&D urges the honourable members of this committee to recommend to the federal government that funding for CDR be frozen immediately.
In the meantime, we urge the Government of Canada to conduct an independent comprehensive review of its objectives and the accountability, value for money, and health outcomes as they relate to CDR. We must build a better system that avoids duplication and delay and mixed signals. We believe that by taking this action the standing committee will provide a voice to millions of Canadian patients who are waiting too long for access to medicines because of CDR and because provinces are taking too long to make decisions.
Before concluding, Madam Chair, I would also like to make one quick comment about the recently created joint oncology drug review. I encourage the JODR not to make the same delays as the common drug review.
Canadians expect and demand the best health care in the world. Our health care system is part of our social fabric and our identity. Rx&D believes that we have been, and continue to be, part of the solution in improving the health of all Canadians. A process that limits choice or delays or denies access to the world's most innovative medicines is not the answer.
Thank you very much, Madam Chair. I will be pleased to answer your questions after the other presentations.