Georgia’s Health Minister Mikheil Sarjveladze has commented on a recent fine imposed on pharmaceutical companies for excessive markups. He said it shows the need for current efforts to ensure fair pricing in the sector.
His statement comes after the Georgian Competition Agency fined four pharmaceutical companies a total of 560,000 GEL for abusing their dominant market position and imposing unfair prices. The investigation revealed markups between 1,000% and 3,000% compared to import prices.
Sarjveladze noted that the pharmaceutical markets are “often criticized for lack of competition and artificially high prices, and in many cases, this is justified.” He added that while regulations such as reference pricing have improved competition for necessary medicines, risks remain.
The Minister said future steps could include strengthening the reference pricing system as well as strict monitoring: “Wherever such violations occur, we will turn to law enforcement or relevant agencies… the Ministry will be absolutely irreconcilable when unfair prices are offered to patients.”
