CANADIAN PATENTED DRUG PRICE REDUCTIONS OF UP TO 1.1%

Executive Summary

CANADIAN PATENTED DRUG PRICE REDUCTIONS OF UP TO 1.1% effective in January "will be required in cases where companies are currently charging the maximum allowable prices," the Canadian Patented Medicine Prices Review Board reports in its July 1994 Bulletin. Prices for patented drags in Canada are indexed to inflation by the Consumer Price Index. "The most recent forecast of the Department of Finance is that the CPI will increase by 1.3% in 1995 over 1994," the Bulletin states. However, the 1995 forecast "is actually below" the forecast CPI for the current year.