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New national regulations are in place! Starting from August 1, the local health and health commission, the drug equipment bidding center and other administrative agencies have abused their administrative rights to designate and monopolize consumables, drug equipment procurement and distribution, and bidding.
New national regulations are in place!
Severely punish monopoly in the field of pharmaceutical purchase and sales
According to Xinhua News Agency, the "Anti-Monopoly Law of the People's Republic of China" has recently been revised and will come into force on August 1.
To this end, the State Administration for Market Regulation issued today (June 27) the "Regulations on Preventing Abuse of Administrative Power to Exclude and Restrict Competition (Draft for Comment)" (referred to as the "Regulations") to further strengthen and improve the prevention of administrative abuse The anti-monopoly law enforcement that excludes power and restricts competition has improved the problems of weak law enforcement rigidity and insufficient law enforcement authority in the current regulations.
It is worth noting that the "Provisions" have added the clause that the administrative power shall not be abused, and other operators shall be prevented from entering the market by means of signing cooperation agreements with operators, or they shall be treated unequally, and competition shall be excluded or restricted.
As we all know, in the field of pharmaceutical purchase and sales, the abuse of administrative power to exclude and restrict competition has been repeatedly prohibited. Among them, the implementation of illegal monopoly by signing "government-enterprise cooperation" agreements and memoranda with operators has become more common in recent years.
In this regard, the newly added clause just plugs the "loophole" of the existing rules, and further cracks down on the illegal behavior of certain administrative departments and medical institutions using privileges to designate a certain company to take over the distribution power in the procurement and distribution of pharmaceutical equipment.
Undoubtedly, with the implementation of the new version of the "Anti-Monopoly Law" and the accompanying revision of the "Provisions on the Suppression of Abuse of Administrative Power to Exclude and Restrict Competition", the nationwide monopoly on the procurement and distribution of pharmaceutical equipment will usher in a more stringent inspection storm!
The full text of the regulations is as follows:
Monopoly pharmaceutical equipment procurement and distribution
The health bureaus of the two places were named by the state!
Just recently, the State Administration for Market Regulation issued the "2022 Special Action Cases to Stop Abuse of Administrative Power to Exclude and Restrict Competition Law Enforcement (First Batch)", which publicly named 12 cases related to the abuse of administrative power to exclude and restrict competition.
Among them, there are 2 typical cases related to the field of pharmaceutical purchase and sales, where local government departments correct the abuse of administrative power and exclude and restrict competition by signing cooperation agreements and other means.
1. Hunan Provincial Market Supervision Bureau rectified Shuangfeng County Health Bureau's abuse of administrative power to exclude and restrict competition
On November 2, 2021, the Hunan Provincial Market Supervision Bureau launched an investigation into the Shuangfeng County Health Bureau's alleged abuse of administrative power to exclude and restrict competition.
After investigation, on July 23, 2021, the party (Party A) signed a "Strategic Cooperation Agreement on the Purchase and Sales of Medicines, Consumables, and Equipment" with a company (Party B) on July 23, 2021 . All public medical institutions (listed at the end) need to purchase a certain proportion of the medicines, consumables, equipment, etc. to Party B. Party A issues the indicators in the form of documents to the public medical institutions under its jurisdiction, and Party B communicates with the relevant public medical institutions. Institutions sign supply and demand contracts . ”
The Hunan Provincial Market Supervision Bureau believes that the above-mentioned behavior of the parties hinders and restricts the fair competition in the drug, consumables, equipment and equipment markets in the county, and violates Article 32 of the Anti-Monopoly Law of the People's Republic of China, "Administrative Organs and Laws and Regulations". Authorized organizations with the function of managing public affairs shall not abuse their administrative power to restrict or disguisely restrict units or individuals from operating, purchasing, and using commodities provided by their designated operators.
During the investigation period, the parties actively rectified. On November 10, 2021, a company specially notified a company to cancel the above cooperation agreement, and notified the system-wide secondary medical and health units to restore fair competition in the supply market of medicines, consumables, equipment and other equipment in the county. .
2. Guangxi Zhuang Autonomous Region Market Supervision Bureau rectified Du'an Yao Autonomous County Health Bureau's abuse of administrative power to exclude and restrict competition
On October 20, 2020, the Guangxi Zhuang Autonomous Region Market Supervision Bureau launched an investigation into the Du'an Yao Autonomous County Health Bureau's alleged abuse of administrative power to exclude and restrict competition.
After investigation, on December 4, 2019, the parties reported to the People's Government of Du'an Yao Autonomous County with the "Request for Instructions from the Health and Health Bureau of Du'an Yao Autonomous County on Granting Preferential Policies to a Pharmaceutical Co., Ltd." (Du Wei Bao [2019] No. 88). The document proposes that " under the same conditions, all medical units in the county will give priority to purchasing medicines, medical equipment, disposable consumables, Chinese medicine pieces, medical laboratory reagents and other medicines and medical equipment from a pharmaceutical limited liability company" . On January 8, 2020, the parties forwarded the documents to the county-level medical and health care units and township health centers, requesting serious implementation. From January to October 2020, the county people's hospital, the traditional Chinese medicine hospital, the maternal and child health care hospital, and the township health center where the parties are located successively signed a distribution agreement with a pharmaceutical company.
The Guangxi Zhuang Autonomous Region Market Supervision Bureau believes that the parties' behavior of requiring public medical institutions within their jurisdiction to use their designated pharmaceutical suppliers to provide medical supplies distribution services in the procurement of medical supplies excludes other pharmaceutical suppliers from participating in competition and restricts the free choice of public medical institutions. The rights of pharmaceutical suppliers have affected the fair competition in the local pharmaceutical market. The above acts violated the provisions of Article 32 of the Anti-Monopoly Law of the People's Republic of China: "Administrative organs shall not abuse their administrative power to restrict or disguisely restrict units or individuals from operating, purchasing, and using commodities provided by operators designated by them." Abuse of administrative power to exclude or restrict competition.
During the investigation, the parties actively rectified to eliminate adverse effects. First, the relevant documents were abolished. On January 20, 2021, the party concerned published the "Announcement of the Health and Health Bureau of Du'an Yao Autonomous County on the Revocation of Document No. 88 of Du Wei Bao [2019] and the spirit of instructions and instructions" in Hechi Daily, and the The original document is annulled. The second is to improve policy measures, and each medical and health institution will independently select drug distribution companies on the centralized procurement platform. The third is to earnestly study the "Anti-Monopoly Law of the People's Republic of China" and the "Implementation Rules for the Fair Competition Review System", strictly implement the fair competition review system, and prevent the abuse of administrative power to exclude and restrict competition.
The "new era" of anti-monopoly in the medical field is on!
As an important industry related to the national economy and people's livelihood, medical and health care has always been a key area under strict investigation.
In the "China Anti-monopoly Law Enforcement Annual Report (2021)" recently released by the State Administration for Market Regulation, the state once again stated that it will strengthen the centralized review of operators in the fields of logistics, public utilities, food manufacturing, medicine and health, and maintain a fair competition market pattern .
Now, with the further revision and improvement of anti-monopoly-related regulations by the state, administrative agencies including provincial and municipal governments and health and health commissions will be thoroughly cracked down on the abuse of power to monopolize the procurement and distribution of pharmaceutical equipment.
The "new era" of anti-monopoly in the medical field is about to begin!
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