Report of the Commission of Inquiry on the Pharmaceutical Industry

The Commission recommends some major modifications and extensions to policy specific to the industry. The processleading to authorization for marketing should become more rapidand more consultative. The terms on which compulsory licencesare issued should ensure that the licensing firms pay their shareof the research and development and promotion expenditures fromwhich they benefit. Royalties should be distributed to thepatent-holding firms in such a way as to encourage research inCanada. Provincial plans should provide consumers with greaterknowledge about what drugs are substituitable and greaterinformation on prices and should give them incentives to seek outcheaper drugs.