On February 16, 2024, the Minister of Health of Canada released the 2022 Annual Report of the Patented Medicine Prices Review Board (PMPRB). The 2022 Annual Report outlines the mandate, structure, and price review activities of the PMPRB. The report also analyzes sales and pricing trends for patented medicines in Canada, as well as comparisons of Canadian and foreign patented medicine prices and research and development spending.
According to the 2022 annual report, sales of patented drugs in Canada increased by 5.7% over the previous year, reaching $18.4 billion in 2022, and the national average transaction price increased by 0.8% compared with the 6.8% increase in the Consumer Price Index. At the same time, based on the prices reported to each category of customers mentioned in the PMPRB, the average price of patented drugs in Canada in 2022 was (calculated at market exchange rates), which was lower than Japan, Spain and the United Kingdom, but comparable to Germany, and higher than Australia, Belgium, France, Italy, the Netherlands, Norway and Sweden.
Based on external data on drug sales in pharmacies and the hospital sector across Canada, the average price of patented drugs in Canada ranks second among 31 Organization for Economic Cooperation and Development (OECD) countries (up from third place in 2021).
While overall R&D spending by patent right holders totaled $914 million, down 1.0% from the previous year, R&D spending reported by members of the Innovative Medicines Association of Canada increased 1.7% from the previous year, totaling $748.6 million in 2022.
