DUBAI: The United Arab Emirates (UAE) has introduced new rules aimed at preventing monopolies in the pharmaceutical sector, a move doctors say could help reduce medicine prices and prevent recurring drug shortages.
Under the new system, pharmaceutical companies will be required to appoint more than one authorised agent in the UAE for each medical product. The measure is designed to increase competition in distribution and strengthen supply chains.
Health experts say the change could have a direct impact on prices. When a single distributor controls the supply of a medicine, it can set prices with limited market pressure.
By allowing multiple agents to handle the same product, competition is expected to grow, which may gradually bring down costs for patients.
Doctors also note that reliance on one supplier has previously led to shortages when production delays or global disruptions occurred. In recent years, patients in the UAE faced difficulty obtaining certain diabetes, weight-loss and mental health medications due to high demand and supply chain problems.
With more than one authorised distributor, any logistical failure by one company would be less likely to disrupt patient treatment. Greater competition is also expected to improve service standards in storage and transportation.