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Cheaper Rx Drugs

Aired August 27, 2003 - 13:31   ET

THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.


THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.


KYRA PHILLIPS, CNN ANCHOR: A major roadblock in the run for the border. The Food and Drug Administration is warning some states and cities, it's illegal to import cheaper prescription drugs from Canada, but a U.S. senator is trying to change that.
Our Louise Schiavone joins us now live from Washington with more.

LOUISE SCHIAVONE, CNN CORRESPONDENT: Hi, Kyra.

Federal officials are concerned that state and local governments see drug importation as one way to cut prescription drug costs for municipal employees. The state of California made official inquiry about this. And in a warning shot across the bow, the Food and Drug Administration is specifically warning California that it is against federal law for state and local governments to import prescription drugs from Canada, as well as potentially risky.

The letter stating, quote, "In our experience, many drugs obtained from foreign sources that purport and appear to be the same as FDA-approved prescription drugs have been of unknown quality." The letter goes on, "We cannot provide adequate assurance to the American public that the drug products from foreign countries are the same products approved by the FDA," end quote.

The city of Springfield, Massachusetts, however, is moving full speed ahead with its plans to link municipal employees to a Canadian drug exporting service called CanaRX. But the FDA says there's a reason to believe CanaRX does not meet the highest standards of reliability. Just last week, as part of an investigation, an FDA task force ordered a drug from CanaRX, requiring refrigeration and express shipping. But that drug arrived a full week later, via regular mail, no refrigeration.

Despite the FDA findings, there is a major push among cost- conscious consumers to get their pharmaceuticals at significantly lower costs in Canada. Indeed Senator Chuck Schumer of New York today is introducing a bill to ease the way for this.

The FDA is concerned about online drug buying in general. Officials arguing that once consumers feel comfortable with the process, the door will be opened to criminals who, cloaked in the anonymity of the Internet, profess to be in Canada, and who are selling shabby, or even dangerous products -- Kyra.

PHILLIPS: Louise Schiavone, thank you.

TO ORDER A VIDEO OF THIS TRANSCRIPT, PLEASE CALL 800-CNN-NEWS OR USE OUR SECURE ONLINE ORDER FORM LOCATED AT www.fdch.com






Aired August 27, 2003 - 13:31   ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
KYRA PHILLIPS, CNN ANCHOR: A major roadblock in the run for the border. The Food and Drug Administration is warning some states and cities, it's illegal to import cheaper prescription drugs from Canada, but a U.S. senator is trying to change that.
Our Louise Schiavone joins us now live from Washington with more.

LOUISE SCHIAVONE, CNN CORRESPONDENT: Hi, Kyra.

Federal officials are concerned that state and local governments see drug importation as one way to cut prescription drug costs for municipal employees. The state of California made official inquiry about this. And in a warning shot across the bow, the Food and Drug Administration is specifically warning California that it is against federal law for state and local governments to import prescription drugs from Canada, as well as potentially risky.

The letter stating, quote, "In our experience, many drugs obtained from foreign sources that purport and appear to be the same as FDA-approved prescription drugs have been of unknown quality." The letter goes on, "We cannot provide adequate assurance to the American public that the drug products from foreign countries are the same products approved by the FDA," end quote.

The city of Springfield, Massachusetts, however, is moving full speed ahead with its plans to link municipal employees to a Canadian drug exporting service called CanaRX. But the FDA says there's a reason to believe CanaRX does not meet the highest standards of reliability. Just last week, as part of an investigation, an FDA task force ordered a drug from CanaRX, requiring refrigeration and express shipping. But that drug arrived a full week later, via regular mail, no refrigeration.

Despite the FDA findings, there is a major push among cost- conscious consumers to get their pharmaceuticals at significantly lower costs in Canada. Indeed Senator Chuck Schumer of New York today is introducing a bill to ease the way for this.

The FDA is concerned about online drug buying in general. Officials arguing that once consumers feel comfortable with the process, the door will be opened to criminals who, cloaked in the anonymity of the Internet, profess to be in Canada, and who are selling shabby, or even dangerous products -- Kyra.

PHILLIPS: Louise Schiavone, thank you.

TO ORDER A VIDEO OF THIS TRANSCRIPT, PLEASE CALL 800-CNN-NEWS OR USE OUR SECURE ONLINE ORDER FORM LOCATED AT www.fdch.com