Generic Medicines: A Cornerstone of Canada’s Healthcare System
- CPMEA
- 19 hours ago
- 2 min read
December 2, 2025, Toronto - Every day, millions of prescriptions are filled across Canada, and the majority of them are for generic medicines. These treatments are not secondary options but high-quality, rigorously regulated equivalents to their brand-name counterparts. In fact, Canada’s regulatory standards for generics are among the most stringent in the world, requiring evidence of identical quality, safety, and efficacy before approval. This ensures that when Canadians choose generics, they are choosing medicines that meet the same standards trusted internationally.
How Canada Compares Internationally
Generics also play a much greater role in Canada’s healthcare system than in many other countries. Here at home, nearly three out of every four prescriptions dispensed are for generics¹. This level of uptake outpaces many comparable countries and demonstrates the confidence both patients and healthcare providers place in these medicines. Yet even with this high usage, Canada’s overall drug spending remains heavily weighted toward brand-name products, meaning there is still untapped potential for generics to further strengthen the system.
Domestic Manufacturing Matters
Domestic manufacturers add another critical dimension. By producing, packaging, and distributing medicines here in Canada, the generic and contract manufacturing sector reduces reliance on fragile international supply chains. This local capacity is essential for protecting healthcare security, particularly as global trade faces ongoing disruptions. The sector also sustains thousands of well-paying jobs and contributes significantly to the Canadian economy, creating a long-term foundation for growth and resilience.
Strengthening Canada’s Healthcare Future
Generics also contribute directly to the sustainability of the healthcare system. In 2023 alone, generics were estimated to save Canadians more than $30 billion², a figure that supports government budgets, employer health plans, and household finances. These savings allow scarce healthcare resources to be reinvested into new services, treatments, and infrastructure, all while ensuring that patients continue to receive effective therapies.
Canada’s healthcare future depends on recognizing and supporting the role of generics and contract manufacturers. Policies that encourage greater use of generics, while safeguarding and expanding domestic production capacity, will help secure access, reduce pressure on healthcare budgets, and strengthen the resilience of our system. Generics are not simply alternatives to brand-name medicines. They are a cornerstone of patient care, a driver of economic contribution, and a critical safeguard for Canada’s healthcare security.
The Canadian Pharmaceutical Manufacturers and Exporters Alliance (CPMEA) – Alliance fabricants et exportateurs pharmaceutiques du Canada (AFEPC) represents pharmaceutical companies that manufacture in Canada. We have come together in an Alliance to tell the story of drug production in Canada and to raise awareness of the unique issues facing our industry.
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