Mr. Gareth ThomasTo ask the Minister of Agriculture, Fisheries and Food what plans he has to regulate the pricing of veterinary products in the UK. [131602]
§ Ms QuinThere are no controls in either UK or European Community law on the pricing of veterinary medicinal products. Decisions on pricing are a matter for the companies manufacturing the products, taking into account commercial factors such as development and production costs and anticipated volume of sales. Similarly, the cost of veterinary treatment is not controlled by legislation but is a matter for negotiation between veterinary surgeon and client.
However, we have received representations about comparatively high prices of veterinary medicinal products in the UK and the issue is being investigated by the Office of Fair Trading (OFT) who are currently conducting an inquiry into the pricing of veterinary medicines in the UK. It will consider whether there is any evidence of anti-competitive practices. In addition, my right hon. Friend the Minister announced on 30 March an independent review of dispensing of medicines by 477W veterinary surgeons as part of the Government's Strategy for Agriculture. This review will examine current dispensing practices and their impact on the supply, availability and costs of veterinary medicines. An announcement of the membership of the Review Group and its terms of reference will be made shortly. The review will be completed by the end of March 2001.