[Ip-health] Thai Competition Commission Rejects Complaint

[Sean Flynn]

Enclosed is an unofficial translation by MSF staff of the recent
decision by the Thai Competition Commission.


The Office of Trade Competition Commission
Department of Internal Trade

27 December 2007

Subject: Decision of Trade Competition Commission
Attention: Chair of Foundation for Consumers
Re: Foundation for Consumers' letter of complaint dated 26 April 2007

	According to a complaint to Trade Competition Commission filed
by the Foundation for Consumers, AIDS Access Foundation, Thai Network of
People Living with HIV/AIDS and Thai NGO Coalition on AIDS against
Abbott Laboratories Co., Ltd. of its withdrawal of registration
applications for several drugs in Thailand as a violation of Trade
Competition Act B.E. 2542,

	The Secretary-General of the Office of Trade Competition
Commission hereby notifies the finding of the Trade Competition
Commission on this suit that the defendant's withdrawal of drug
registration applications does not violate the Trade Competition Act
B.E. 2542 for the following reasons:

1.	Section 25(3): Notifications of Trade Competition Commission on
Criteria for Business Operator with Market Domination state that any
business operator, in any goods or services, with market share in the
previous year over 50% and at least 1,000 million baht turnover is
defined as a dominant firm.  However, Abbott Laboratories had turnover
less than 1,000 million baht in 2005.  Moreover, the company has not yet
obtained required Certificate of Product Registration, making its
products unavailable in the market.  Hence its action is not deemed to
suspend, reduce or restrict distribution, deliveries or importation
without justifiable reasons in order to reduce the quality to that lower
than the market demand.  As a result, the Trade Competition Commission
finds that the company is not a business operator with market domination
as defined in Sections 25(3) and 3 of the Trade Competition Act B.E.
2542;

2.	Section 28: The Trade Competition Commission considers that the
company's withdrawal of registration with the Food and Drug
Administration is not with intent to cause a person who is in the
Kingdom and intends to purchase goods or services for personal
consumption to have restricted opportunities to purchase goods or
services directly from business operators outside the Kingdom.  This is
due to the fact that drug registration is subject to certain regulations
required by the Food and Drug Administration on drug safety.  In
addition, there has never been a reported case of direct order from the
consumer to the company's head office in the United States.  This is
because in Thailand these drugs are normally available at hospitals and
by medical prescriptions only, especially for second-line drugs which
must be prescribed by a specialist doctor.  Considering the above
mentioned facts, the Trade Competition Commission finds that the
defendant's action is not in violation of Sections 28 of the Trade
Competition Act B.E. 2542.

Please be informed accordingly.

Truthfully yours

Santichai Santawanpas
Director of Business Competition Bureau
Acting for the Secretary-General of the Office of Trade Competition
Commission