Pharmaceutical group advocates for actions to curb price reductions at international drugstores
In a recent development, Germany's longstanding ban on discounts by foreign online pharmacies on prescription medications has come under scrutiny, as the Federal Court of Justice (BGH) ruled that a previous ban on such bonuses violated EU law. However, the ruling does not explicitly state whether the current German ban is in line with EU law, leaving room for interpretation.
The German Pharmacists' Association (ABDA) has been vocal about its belief that foreign online pharmacies like DocMorris and ShopApotheke are offering discounts on prescription medications, which they consider illegal. ABDA President Thomas Preis has stated that these actions are a clear violation of the law.
The ban on discounts is part of Germany's efforts to regulate pharmacy discounting and protect public health objectives. The country traditionally prohibits aggressive discounting on prescription drugs to ensure quality, public healthcare cost control, and support for local pharmacies.
However, the EU does not have a unified regulation that explicitly prohibits or permits discounts by foreign online pharmacies on prescription medications. Instead, pricing and distribution rules tend to be regulated at the member state level, within the framework of EU single market principles and pharmaceutical legislation.
Cross-border online sales of medicines are permitted under Directive 2001/83/EC, but price regulation, including discounts, is primarily a national competence. The EU Treaty rules guarantee the free movement of goods and services, which complicates bans on discounts by foreign pharmacies but does not prohibit member states from applying justified health policy measures if proportionate and non-discriminatory.
The ruling by the Federal Court of Justice in mid-July was about a case involving a Dutch online pharmacy offering discounts on German prescriptions. The ruling does not mention specific online pharmacies like DocMorris or ShopApotheke, nor does it specify whether foreign online pharmacies are allowed to offer discounts on prescription medications in Germany.
The ABDA considers discounts and bonuses from foreign online pharmacies to be illegal, and they have requested support from Federal Health Minister Nina Warken. The legal situation has changed since the ruling, but the BGH hinted that the current German ban on discounts may also not be in line with EU law.
As the EU focuses more on supply security and pharmaceutical transparency, pricing remains largely a national policy matter. Online pharmacies and digital health platforms are growing, with some countries adjusting rules to facilitate cross-border access. However, Germany maintains stringent controls over discounts on prescription medication to ensure safety and the sustainability of its pharmacy sector.
[1] [Source 1] [5] [Source 5]
- The German Pharmacists' Association (ABDA) believes that foreign online pharmacies, such as DocMorris and ShopApotheke, offering discounts on prescription medications is a clear violation of the law, yet the ruling by the Federal Court of Justice leaves room for interpretation whether the current German ban is in line with EU law.
- The legal situation has changed with the Federal Court of Justice ruling in mid-July, with the court not mentioning specific online pharmacies like DocMorris or ShopApotheke, nor explicitly stating whether foreign online pharmacies are allowed to offer discounts on prescription medications in Germany.
- The EU single market principles and pharmaceutical legislation allow cross-border online sales of medicines, but price regulation, including discounts, is primarily a national competence, with pricing remaining largely a national policy matter in the health-and-wellness and finance industry.
