HHS importation study draws the wrong conclusions

The 2005 Health and Human Services (HHS) study on drug reimportation estimated that total savings from legalized commercial importation would only be one to two percent of total drug spending. However, a closer look at the data shows that savings could be much more substantial—more in the neighborhood of 7 to 28 percent, according to this white paper from Pfizer Inc., which argues that the HHS study is built on faulty premises.

The premises include not taking into account that bills in Congress would make it illegal to limit drug supply; that there would be unprecedented price gouging and a lack of competition among importers, and that about 30 percent of total drug spending would be unchanged by legalizing commercial importation because about that much is now spent on products that are inappropriate for importation.

• Email This Page
• Print This Page