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Local Company In Fight Over U.S. Pharmaceutical Imports

FREEPORT, Grand Bahama ヨ Freeport has once again been thrust into the centre of a global healthcare debate, this time because of a Canadian-based firm set up here to export low-cost prescription drugs to Americans.

The company, CanadaRx, established operations at an office on Oak Street on July 1 to assist in its prescription drug importation programme that is currently prohibited by the U.S. Food and Drug Administration (FDA).

Canadian drug importation programmes work by exporting medications into the United States at a cheaper cost than if they were purchased in the United States through American pharmaceutical companies.

Initially, the programmes exported drugs provided to Canadian pharmacies by U.S. manufacturers, but those manufacturers have reportedly cut off supply to Canadian pharmacies, forcing them to seek the medications elsewhere, like from European countries.

In an FDA statement issued in June, the regulatory body said it prohibits the importation of new drugs or foreign-made versions of U.S. approved drugs citing safety concerns.

On Wednesday, FDA Commissioner Lester M. Crawford reportedly said the Administration is also concerned about the possibility of terrorists attacking U.S. citizens by lacing drugs that are illegally imported into the United States.

The issue of importation of drugs into the United States has pitted patient advocate groups against the FDA, with the groups claiming that the FDA restrictions on drug imports are guided by the drive to protect drug monopolies created by U.S. pharmaceutical giants.

Harvey Organ, one of the companyᄡs owners, told the Bahama Journal Wednesday that CanadaRx chose Freeport as a shipping point to take advantage of its proximity to the United States and the duty-free allowances on prescription drug imports into the Bahamas.

He said the office brings in prescription drugs, including the popular cholesterol drug, Lipitor, from various countries and ships them to U.S. groups and customers via a mail-order system.

On July 27, U.S. Customs officials out of Miami reportedly seized $250,000 worth of prescription drugs that were being shipped from the CanadaRx office on Oak Street in Freeport.

Authorities were reportedly alerted by Federal Express which makes the shipments, that a larger than normal level of shipments was being sent from the Freeport office.

U.S customs officials indicated that the recent shipment is now under FDA review to determine whether the drugs meet FDA standards.

The programmes out of Canada have gained worldwide media attention and some Americans have long traveled to Canada to get drugs that are sold at almost 40 percent the cost of those sold in the United States.

ᅠモWe started the process in Freeport about a year ago,メ Mr. Organ said. モWe were trying to get everything together in dealing with FedEx and getting all the necessary licenses.メ

One of the major groups to which the recent Freeport order was being shipped is the Minnesota Senior Federation.

The Federationᄡs executive director Peter Wyckoff told the Journal Wednesday that, モThe Federation initially negotiated with CanadaRx several years ago and it was the first Senior negotiated programme out of the United States with Canadian pharmacies.メ

モFreeport is really a new point of shipment and so questions were raised with the FDA,メ he added. モThe FDA has already ruled out any criminal activity going on and as far as we know there is absolutely no question about the quality of the product as they are all coming in factory sealed containers.メ

Mr. Wyckoff said the drugs being shipped to the Freeport facility are re-packaged to include relevant patient information and then shipped to groups such as his.

When questioned by the Journal about the procedures that would govern operations like CanadaRx in Freeport, Dr. Merceline Dahl-Regis, chief medical officer in the Ministry of Health, said the operation is a matter for Bahamas Customs and not the Ministry of Health.

She said operation would not fall under the Ministry of Healthᄡs purview if the drugs are not being sold to Bahamians or put into the Bahamian market.

Deputy Comptroller of Customs Anthony Adderley told the Journal that once companies are licensed to operate import/export businesses, Customs would have no objections to their operations unless the goods handled are on the Departmentᄡs モrestricted or prohibited list.メ

James Rolle, assistant director of Immigration, revealed that CanadaRx is a joint venture with a certified and legitimate Bahamian pharmacist.

Mr. Rolle confirmed that at least one of the principals of the company has been granted a work permit to carry out business at the Freeport office.

Mr. Organ said the company intends to continue doing business in Freeport, and has no intention of putting the products into the Bahamian market, but rather plans only to ship the drugs to Americans.

He told the Journal that for now his office has stopped shipping but plans to continue if the FDA gives the go-ahead.

Sharon Williams, The Bahama Journal

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