Stampa

Report on rule that suspends the opening of new parapharmacies


PRESS RELEASE


PRESS RELEASE



ANTITRUST AUTHORITY: DDL 2079 PARAPHARMACY RESTRICTIONS BEING DEBATED IN SENATE ARE ANTI-COMPETITIVE

Parliament to say no because of their negative influence on prices and consumer freedom of choice.

DDL (draft law) 2079, which is on the floor in the Senate, limits the opening of new parapharmacies, restricting competition and promising negative consequences for consumers. This is the message submitted to Government and Parliament by the Antitrust Authority in a report that appeals for rejection of the rules under discussion.
These rules suspend the opening of new businesses until the regulations on pharmaceutical sales have been redefined and introduce limits on the number of parapharmacies. According to the Antitrust Authority, this type of a structural limitation would restrict competition in recently-liberalized markets, and these rules, if approved, would have a negative impact on price levels and quality of service.  Capping of the number of parapharmacies in each Municipality on the basis of demographic criteria would be added to restrictions on the "authorized personnel strength" of pharmacies, a subject of previous Antitrust Authority reports. This would bias competitive dynamics in a sector where actual numbers of pharmacies are often too low to meet demand.
The Antitrust Authority reasserts that setting quantitative limitations on pharmaceutical businesses does not stimulate the satisfactory geographical distribution of businesses that sell pharmaceuticals to the public, and instead can translate into a form of income-level protection for existing pharmacies.  Ensuring universality of service clearly requires the establishment of a minimum number of pharmacies, not a maximum number.

Rome, 01st September 2010