Medi-Mart pharmacist, Marjorie Johnson, explains the application of an ointment to a customer in this May 2006 file photograph. A recent study by the Consumer Affairs Commission found that several private sector entities believed Drug Serv pharmacies were cutting into their customer base.

Some pharmacies want the Government to review the classification of drugs distributed in Jamaica to allow some listed as prescription medication to be reclassified as over-the-counter (OTC) pharmaceuticals.

This was a recommendation by some pharmacies that were surveyed by the Fair Trading Commission (FTC) in collaboration with the Consumer Affairs Commission and the University of Technology in 2006.

According to an advertisement by the FTC in Wednesday's Gleaner, a total of 36 pharmacies across Jamaica were included in the survey. They were asked to provide their opinion on, among other things, the business environment in which they operate.

Adverse impact

The main concern of the pharmacies was the adverse impact that government regulations, policies and commercial activities were having on the pharmaceutical industry. Seven pharmacies indicated that the Government regulations were adversely affecting their operations.

The pharmacies recommended that policymakers should review government policy on the different treatment of drugs classified as over-the-counter to allow all drugs to be displayed.

"Policymakers should review the classification of drugs distributed in Jamaica. Pharmacies are of the view that some drugs which are listed as prescription can be reclassified as OTC," the study stated.

The pharmacies also said the Government needs to administer the Jamaica Drugs for the Elderly Programme and National Health Fund programmes more efficiently, noting that retailers require speedier reimbursements for drugs sold on credit through these programmes.

Losing customers

Meanwhile, 43 per cent of the pharmacies said they were losing customers to Drug Serv pharmacies. These are operated by the state. This 'crowding-out' effect is not uncommon whenever the Government enters a market either as a consumer or supplier of goods and services, the study noted.

The study also polled the opinion of 13 distributors of pharmaceuticals in Jamaica. They all indicated that the operations of the National Health Fund and Health Corporation Limited (HCL) were having an impact on them.

Eleven distributors viewed the government programmes as beneficial to their business while the other two considered HCL a competitor, presumably with "an unfair advantage".