Canadian Competition Bureau addresses pet medication distribution

The Competition Bureau of Canada released a new pet pharmaceutical sector analysis focusing on the practice of “exclusive distribution”

 The current distribution model restricts pet owners’ access to medications. Photo © Bigstock

The demand for pet medications has risen significantly in recent years as more and more Canadians welcome pets into their homes. However, pet owners often face limited options when filling prescriptions, as many are restricted to purchasing medications through veterinary offices. This situation can result in higher costs and fewer choices for consumers.

To address these concerns, the Competition Bureau of Canada has released a new pet pharmaceutical sector analysis, Pets, Vets and Meds: The Case for More Competition. The report focuses on the practice of “exclusive distribution.” Under this system, pharmaceutical manufacturers sell their products solely to distributors, who in turn supply them only to veterinarians. This distribution model limits pet owners’ access to medications and restricts competition in the market.

The Bureau’s analysis recommends that provincial and territorial governments consider allowing pharmacists to supply pet medications. This change could open up the market, offering pet owners more convenience and more choices at competitive prices.

The report is based on comprehensive research, including interviews with various industry stakeholders such as veterinarians, pharmacists, regulatory bodies, provincial agencies, professional associations, and animal owner groups.

Commissioner of Competition Matthew Boswell says, “As costs for pet care have increased, Canadians are concerned about affordability and availability of services. Mandating the supply of pet medications to pharmacists would improve competition. We are encouraging provincial pet healthcare regulators to apply a competition lens when evaluating what is best for their jurisdictions.”