MONTREAL — Fewer Canadian-made drugs were sold to American customers via the Internet in 2006, according to data compiled by a pharmaceutical industry group.

IMS Health says while 2005 sales to the U.S. by Canadian internet pharmacies reached $420 million, 2006 sales declined almost 50 per cent, to $211 million.

IMS spokesman Ian Therriault says just a few years ago, Internet sales of prescription drugs to the United States were booming, but this is no longer the case.

He says reasons for the decline include a stronger Canadian dollar and a new Medicare prescription plan that extends coverage to uninsured and underinsured Americans.

Therriault says negative press coverage around counterfeit and foreign drugs entering the U.S. market may also have played a role in dampening sales.

But he adds that pending legislation in the U.S., aimed at allowing drug imports, may change this declining trend.

IMS Health also said Wednesday that Ontario-based Apotex has become the first generic drug manufacturer in Canada to reach sales of more than $1 billion.

Apotex is now the country's fourth-largest pharmaceutical manufacturer, behind brand-name companies Johnson & Johnson ($1.121 billion) AstraZeneca ($1.172 billion) and Pfizer ($2.397 billion).

Sales of generic medication grew 13.6 per cent in 2006, twice the rate of branded sales.

For the year, the total prescription pharmaceutical market, which includes drugstore and hospital purchases, was $17.8 billion -- up 7.9 per cent from 2005.

Driving growth last year were oncology medications, such as Herceptin and Rituxan.