Brussels, 16/01/2008 (Agence Europe) - On Wednesday 16 January, the European Commission announced that it was opening a sectorial inquiry into the pharmaceutical industry. Surprise inspections have been carried out on the premises of several pharmaceutical laboratories, as the Commission believes that “competition in the pharmaceutical markets in Europe may not be working well”.
The inquiry launched responds to the following objectives: - to assess whether the agreements made between the pharmaceutical companies, such as settlements in patent disputes, may infringe the EC Treaty's prohibition on restrictive market practices; - to determine whether the companies have created artificial obstacles to market entry by misuse of patent rights or vexatious litigation; - and to verify whether these practices may constitute an abuse of dominant position. An interim report is scheduled for autumn 2008, and the definitive results of the inquiry are anticipated for spring 2009.
“Individuals and governments want a strong pharmaceuticals sector that delivers better products and value for money”, said Neelie Kroes, the Commissioner for Competition. “But if innovative products are not being produced, and cheaper generic alternatives to existing products are in some cases being delayed, then we need to find out why and, if necessary, take action”, the Commission added. She went on to tell the press that “the pharmaceutical markets are not functioning as well as they should” (each European household spends a thousand euros on pharmaceutical products every year).
Ms Kroes acknowledged that the French, German and American competition authorities are also keeping a very close eye on this dossier. The groups Sanofi-Aventis, Glaxo and AstraZeneca confirmed that they had been visited by Commission inspectors. However, according to the press agency Reuters, Bayer Schering Pharma, Merck and UCB claim “not to know anything about the dossier”. (L.C.)