Dutch Competition Authority Supports Cooperation in Distributing Essential Medicines
- 26/05/2020
- Articles
The Dutch competition authority, Autoriteit Consument en Markt (ACM), published a statement indicating that it supports the cooperation between hospitals, hospital pharmacies and pharmaceutical wholesalers to reduce or avert shortages of 14 essential medicines for which demand during the Covid-19 crisis has soared (see, attachment). ACM took the position in response to a request made by Landelijk Coördinatiecentrum Geneesmiddelen (LCG), an organisation established in April 2020 to secure supplies of medicines for intensive care treatment and surgery in hospitals. LCG organises the procurement and distribution of these medicines.
ACM said that it did not expect any competition problems to arise. It explained that this form of cooperation was transparent, temporary and necessary to prevent both national and local medicine shortages. It added that the measures adopted by LCG did not extend beyond what is necessary to achieve this goal. ACM also pointed out that safeguards had been put in place to avoid the exchange of information among wholesalers regarding prices or stocks.
The ACM’s position is in line with that taken by other competition authorities around Europe to make sure that supplies of essential goods such as medicines and foodstuffs would not be curtailed (see e.g., Van Bael & Bellis Life Sciences News Alerts of 9 April 2020 and 29 April 2020).
