The National Directorate of Research and Promotion of Free Competition of Indecopi (DLC) has initiated an administrative sanctioning procedure (PAS) against fifteen companies and five individuals for alleged collusion in bidding processes to acquire medicines that were organized by the State between December 2006 and February 2020.
If these practices were confirmed, the State would have been prevented from acquiring medicines at lower prices. Below, we explain in detail the investigation that Indecopi is carrying out and the possible consequences that it could entail for each company.
Why did Indecopi open a sanctioning process against 15 pharmaceutical companies?
After two years of investigation, Indecopi has found reasonable indications of a possible anti-competitive practice in the market of medicinesThis sanctioning process has been based on the review of multiple pieces of evidence, including interrogations of the people involved and inspections.
This investigation will establish whether companies collaborated in the presentation of proposals and abstentions in the auctions organized by the Ministry of Health and EsSaludwith the aim of obtaining tenders for the purchase of medicines in both entities.
The Indecopi Free Competition Commission has a period of approximately 18 months to issue a resolution on the case. If responsibilities are determined, fines could reach up to 12% of the gross income of each company involved or its economic group. Economic sanctions for natural persons could reach up to 100 UIT, equivalent to S/515,000.
Which medications were affected?
The alleged collusion would have affected the acquisition of various essential medicines for the public health system. Among the drugs involved are:
- Amoxicillin and azithromycin: antibiotics used in the treatment of infections.
- Methotrexate: an antineoplastic and immunosuppressant crucial for the treatment of acute leukemias and head and neck cancers.
- Ferrous sulfate: an iron supplement used as an antianemic.
These medicines are essential for the treatment of infectious diseases, cancers and anemia, and their access at competitive prices is crucial for public health.
Which companies is Indecopi investigating?
Indecopi has named fifteen pharmaceutical companies and five individuals as being investigated in this sanctioning procedure. The companies involved are:
- B Braun Medical Peru SA
- Chemotherapy Institute SA
- Perulab S.A.
- Jobal Pharma EIRL
- AC Farma SA Laboratories
- Sagittarius Drugstore Distributor SRL
- American Laboratories Inc.
- Lansier Laboratories S.A.C.
- Laboratories Portugal SRL
- United Laboratories S.A.
- Medifarma S.A.
- Pereda Distributors SRL
- Pharmagen S.A.C.
- OQ Pharma SAC
- Teva Peru S.A.
The sanctioning procedure is still ongoing, and Indecopi invites anyone with relevant information to collaborate with the investigation. Interested parties can contact Indecopi’s National Directorate of Investigation and Promotion of Free Competition through Indecopi’s Reception Desk, at the email address st-clc@indecopi.gob.pe or by phone (51)(1) 2247800, annex 3101.
Source: Larepublica
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