Pharmacy ordered to make donation after hiking prices
20 Apr 2020 | Kwanele Mketeni
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The Competition Tribunal has ordered a Gauteng Pharmacy to donate over R25 000 worth of personal protective equipment to two old aged homes in its area of business after the Competition Commission found it to be charging excessive prices for face masks during lockdown period.
This is the first consent agreement relating to COVID-19 excessive pricing approved by the Tribunal.
Centrum Pharmacy in Boksburg has now agreed to significantly reduce its mark-up on facial masks with immediate effect for the duration of the state of national disaster.
In terms of the agreement, the pharmacy will:
Immediately desist from the excessive pricing conduct;
Reduce its mark-up on facial masks to significantly below that which it conventionally levies on other non-pharmaceutical store items with immediate effect and for the duration of the state of national disaster;
Donate the following essential goods amounting to a total value of R25 410.00 to two old aged homes situated in Boksburg, namely:
a) 500 hand sanitizers (100ml each)
b) 320 items of 3 ply face masks
c) Seven boxes of gloves (one box contains 100 gloves each)
The Commission has also found that the pharmacy’s prices charged for facial masks during March 2020 was in contravention of the Competition Act (excessive pricing) and the Consumer Protection Regulations.
