CMA alleges breach of competition law on Nitrofurantoin: NPA reaction

The Competition and Markets Authority (CMA) has found provisionally that sellers of the antibiotic Nitrofurantoin broke competition law by arranging to carve up the market between them.

https://www.gov.uk/government/news/drug-firms-accused-of-illegal-market-sharing-in-supply-of-antibiotic

Alliance Healthcare and two manufacturers – Morningside and AMCo (now Advanz) – are alleged by the CMA to have entered into anticompetitive agreements to keep prices of nitrofurantoin artificially high.

A NPA spokesperson said:

“As well as costing taxpayers, independent community pharmacists can lose out if restricted choice leads to higher medicines prices.”

“At a time when community pharmacies are being asked to make efficiencies to help manage primary care budgets, it is galling to read that some of the cost pressures may be caused by suppliers and wholesalers behaving anti-competitively.”

The CMA’s findings are provisional and the allegations have been denied.