Pharma, healthcare sector under scanner as CCI decides to investigate unfair practices

To look into the issues in pharma and healthcare services in the national capital region, the Competition Commission of India is going to do a detailed study that will cover public and private hospitals, insurance companies, pharma companies, doctors and their contacts, among others. 

The study will be done from competition perspective to check business malpractices, and the regulator has already invited Expression of Interest (EoI) from the companies. 

The study comes after CCI found the instances of competitive laws violation over the past few years.To check these illegible issues, the CCI is going to carry the study in Delhi and NCR.  

The study will include non-availability of essential medicines, drug prices , connection between pharmaceutical companies and pharmacists, nexus between pharmacists and doctors, nexus between doctors and pathological laboratories, pharmaceutical companies, hospitals and insurance companies. 

In February this year, British Medical Journal reported that unfair activities like bribes for referrals, inexact prescriptions, and unnecessary investigation are the most common forms of corruption in India's health sector. adding that rampant corrupt practices in the pharma sector has eroded the trust and respect for doctors. 

Moreover, a study done by Transparency International in 2005 says that, after the police, the healthcare sector is the most corrupt sector in India.