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HEHS-96-60R 1 (1995-12-21)

handle is hein.gao/gaobaclao0001 and id is 1 raw text is: 


GAO          United States
             General Accounting Office
             Washington, D.C. 20548

             Health, Education and Human Services Division


             B-266229


             December 21, 1995

             The Honorable Nancy Landon Kassebaum
             Chairman, Committee on Labor
               and Human Resources
             United States Senate

             Dear Madam Chairman:

             Under current law, U.S. pharmaceutical manufacturers must
             obtain approval from the Food and Drug Administration (FDA)
             to export drugs for marketing that are not approved for sale
             in the United States. Further, unapproved drugs may only be
             exported from the United States to 21 designated countries
             if these countries have approved the drugs for sale. Many
             in Congress are concerned that such restrictions on exports
             cost American jobs, create an incentive for firms to build
             new manufacturing facilities overseas, and deny American-
             manufactured drugs to countries whose own regulatory systems
             have approved them.

             The FDA Export Reform and Enhancement Act of 1995 (S. 593)
             would permit manufacturers to export pharmaceutical products
             for sale that have not been approved for marketing in the
             United States without prior FDA approval.' In general, the
             bill establishes two methods for unapproved drugs to be
             exported for marketing in a foreign country. First, an
             unapproved drug could be exported to a country named in the
             bill (called a tier I country) or any other country provided
             that the drug complies with the laws of that country and has
             valid marketing authorization by the appropriate approval
             authority in a tier I country.2 Second, an unapproved drug


             'The bill also includes provisions for exporting unapproved
             animal drugs, biological products, and medical devices.
             This letter considers only drugs.

             2The tier I countries listed in S. 593 are Australia,
             Canada, Israel, Japan, New Zealand, Switzerland, and any
             country in the European Union or within the European
             Economic Area (including, Austria, Belgium, Denmark,
             Finland, France, Germany, Greece, Iceland, Ireland, Italy,
             Luxembourg, Netherlands, Norway, Portugal, Spain, Sweden,

                                       GAO/HEHS-96-60R FDA Export Reform

                               e 95+q

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