For more than 15 years, we’ve negotiated with manufacturers on behalf of public drug plans in Canada. Every successful joint negotiation is a win-win. A single negotiation is more efficient than several separate negotiations with individual drug plans, and better prices for all drug plans — big or small — help keep health systems sustainable while expanding coverage for effective new treatments.
In 2024–25, we saved public drug plans an estimated $3.94 billion on brand-name drugs.
Negotiating drug prices
Many brand-name drug price negotiations, including those for biologic drugs, follow our standard negotiation process. We also have expedited negotiation pathways that support timely negotiation, depending on each drug’s eligibility.
Each pathway is designed for specific types of drugs, but all share the same 4 key phases:
- Initiation: A drug is identified and brought into a pCPA process.
- Consideration: Relevant clinical, economic, and other information is reviewed to decide how to approach negotiation.
- Negotiation: The pCPA and manufacturer exchange offers involving price and coverage conditions.
- Completion: The negotiation concludes and the outcome is communicated to drug plans to support listing decisions.
Prioritization
Our prioritization group was originally established during the COVID-19 pandemic, and it continues to guide decisions to ensure we’re moving as quickly as possible on high-priority drugs.
Representatives of several public drug plans, supported by pCPA staff meet monthly to review drugs that are, or will soon be, eligible for negotiation. Priority-setting decisions are made by consensus among public drug plans and based on economic and clinical considerations, including priority review or advance consideration by Health Canada, and areas of unmet need (where existing treatments are inadequate or unavailable).
For manufacturers
Use this section to access forms, guidance, and key information related to brand-name drug price negotiations with the pCPA.
Processes
See each process page for more information.
Standard negotiation process
The negotiation pathway for most brand-name drugs and some biosimilars
Targeted negotiation process
A streamlined pathway for non-complex negotiations, including drugs comparable to others already available in the market
Early negotiation process
An expedited pathway for cancer drugs that are part of Project Orbis
Temporary access process
A pathway for certain promising new drugs with conditional regulatory approval
Forms
The executive summary submission form can help manufacturers highlight key facts and considerations early in the process, to support a more efficient negotiation. Filling out the form is optional. Manufacturers opting to submit it should do so within 3 weeks of receiving a letter of acknowledgement from the pCPA, indicating that their drug is being considered for negotiation.
Resources
Explore key reference documents to support your submissions.