10/09/2026
When a medicine loses patent protection, the arrival of its first generic competitors can have a significant impact on drug costs.
These 'first-wave' generics are the first generic versions to enter the market for a medicine that doesn't yet have generic competition. And once that happens, the Tiered Pricing Framework rewards additional entrants (a second, then a third) with further price reductions.
That means timely reviews of first-wave generics can translate directly into savings for Canada’s health-care system.
There are currently 70 first-wave generic medicines or combinations under review by Health Canada. Canadian hospital and retail payers spend approximately $4.7 billion annually on their brand-name versions, and CGPA estimates that timely approval and market entry of these generics could generate approximately $2.2 billion in savings in their first year on the market.
That’s why CGPA supports prioritizing first-wave generic submissions when review capacity is constrained.
But prioritization is only part of the solution. Health Canada also needs sufficient review capacity to ensure Canadians can benefit from lower-cost generic competition in a timely and predictable way.