On Thursday 13 June, the European Commission announced that it had sent objections to Alchem International Pvt. Ltd. and its subsidiary Alchem International (H.K.) Limited, which it suspects, on a preliminary basis, of having engaged in a long-term agreement concerning an important pharmaceutical product.
Alchem manufactures, among other things, the pharmaceutical ingredient Scopolamine N-Butylbromide/Hyoscine (SNBB), an important ingredient in the production of the antispasmodic abdominal drug Buscopan and its generic versions.
The European Commission already suspected other market players of engaging in a cartel within the European Economic Area (EEA) relating to SNBB (see EUROPE 13275/29). The companies exchanged commercially sensitive information and coordinated their positions, thereby reducing competition.
In addition, the companies had agreed on the minimum selling price of SNBB to customers. In addition, they had divided up the market by allocating quotas.
The Commission considers that Alchem may also have engaged in these anti-competitive practices.
In October 2023, the Commission adopted a settlement decision (see EUROPE 13275/29) concerning this cartel. Alchem, which was also covered by the Commission’s investigation on this matter, had decided not to settle. The investigation is therefore continuing under the normal procedure.
Restrictive agreements and business practices are prohibited in the EU and EEA by Article 101 of the Treaty on the Functioning of the European Union (TFEU) and Article 53 of the EEA Agreement. (Original version in French by Émilie Vanderhulst)