Monopolisation of the pharmaceutical market

President Saakashvili of Georgia recently made very critical comments about the price of medicines in Georgia and the monopolisation of this business. The opposition however have commented very sceptically about the President’s remarks, claiming that they are part of a PR campaign. They think that the companies working in the pharmaceutical market are pro-Government and their loyalty has enabled them to monopolise this area.

Leader of the New Rights and former doctor Davit Gamkrelidze thinks that the pharmaceutical market is not being monopolized by private companies but the Government, as the companies and the Government work in harmony. He notes that the pharmaceutical business is the most profitable in the world after arms and narcotics.

Many analysts say that the two major pharmaceutical companies PSP and Aversi, have monopolised the import of medicine, the production of locally produced medicine, all sales of medicine, medical insurance and the hospital network. It would be very difficult to find any country in the world with such a pharmaceutical and medical business structure, analysts say.