Pharmacy association: No formal complaint against alleged drug monopoly

THE Private Pharmacy Retail Business Association (PPRBA) has made no official complaint to the Fair Trade Commission (FTC) about an alleged monopoly in the pharmaceutical sector. PPRBA president Glenwayne Suchit made this disclosure during a public hearing held by the Parliament's Public Administration and Appropriations Committee (PAAC) at the Cabildo Building, Port of Spain on December 1.

Before doing so, Suchit repeated the concerns the association has raised publicly over the last two years about the alleged monopoly.

PAAC chairman, Speaker Jagdeo Singh, drew Suchit's attention to correspondence between attorneys representing the association to the FTC and vice versa.

Suchit acknowledged an informal complaint was made to the FTC on September 6, 2024. He agreed with Singh that the FTC wrote the association seven days letter to acknowledge receipt of the September 6 letter.

Singh asked Suchit it any official complaint was made to the commission about the alleged monopoly.

Suchit replied, "No. The official complaint was never made."

Singh observed nothing happened with this matter for another eight to nine months. Suchit agreed with this and with Singh about a June 17 letter from the FTC.

Referring to what appeared to be excerpts from that latter, Singh said it appeared the commission "has arrived at the prima facie position that some case existed to commence an investigation."

Suchit agreed. He also agreed with Singh the FTC gave the association an extensive shopping list of documents and data it needed in order to begin its investigation.

Suchit indicated this was the same list which the association received from the commission last September. He accepted the onus was on the PPRBA to provide the commission with this information.

Singh asked, "As of today, are you aware of any investigation has been launched?"

Suchit said, "No investigation has been launched."

He added the association has met with the FTC but did not disclose any details of that meeting.

Works and Infrastructure Minister Jearlean John did not think it was fair for anyone to attack the commission for not doing its statutory duty if that individual or group did not follow the process necessary for the FTC to trigger that duty.

"Why don't you use your own impetus?"

Earlier during the meeting, Suchit repeated the association's complaints the alleged monopoly "influences the products which are supplied and introduced to the local market for the population."

He said this affects the pricing of pharmaceutical products throughout the country.

Suchit claimed Aventa, one of the Agostini Group's pharmaceutical and healthcare distribution companies, owns 74 per cent of the pharmaceutical private market.

He said this alleged advantage is enhanced through Agostini's ownership of the SuperPharm retail chain and SuperPharm's acquisition of MPharm from Massy Stores last November.

Suchit claimed Aventa and two other distributors control 70 per cent of wholesale pharmaceuticals market.

"We have a serious monopoly in this country."

Referring to the association's written submission to the PAAC, Singh asked Suchit if the PPRBA was claiming that out of the approximately 900 most prescribed drugs in TT, 700 were concentrated in the supply chain of one supplier.

Suchit said yes.

He said, "My pharmacy purchases a box of Panadol for $20 but SuperPharm may be selling it for $19."

Singh appeared concerned by this response, describing Panadol as "perhaps the most widely used painkiller in this country."

Suchit claimed independent pharmacies are being denied access to subsidised Chronic Disease Assistance Programme (CDAP) drugs.

"There is a consistent pattern of pricing discrimination and refusals to supply."

He claimed it is unfair trading if a distributor sells products to companies it is linked to but bypasses other companies.

"That is ridiculous and nonsense."

Suchit claimed Aventa has positioned itself to access drugs for all major critical illnesses such as cancer, glaucoma and diabetes. He said these companies had no principles.

Singh cautioned him "to save the emotional hyperbole." Suchit apologised for his remarks.

In July, Aventa Group CEO James Walker dismissed claims the company had a monopoly in the pharmaceuticals sector.