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    • Male Contraceptives:...

    Male Contraceptives: CCI dismisses complaint against health ministry, CMSS

    Farhat NasimWritten by Farhat Nasim Published On 2018-12-28T15:18:19+05:30  |  Updated On 28 Dec 2018 3:18 PM IST
    Male Contraceptives: CCI dismisses complaint against health ministry, CMSS

    The ruling came on a complaint filed by Nashik-based Cupid Ltd, a company which is engaged in manufacturing and supply of male contraceptives and has been supplying it to the ministry since 2002.


    New Delhi: The CCI Wednesday dismissed a complaint alleging unfair business practices against the Ministry of Health and Family Welfare and the CMSS with regard to the agreement for providing male contraceptives. The Central Medical Services Society (CMSS) acts as the central procurement agency for health sector goods and services as required by the ministry.


    The competition watchdog dismissed the complaint after finding no 'prima facie' contravention of the Competition Act, the CCI said in an 11-page order.


    On the allegation of violations of the Competition Act, the regulator observed that the ministry did not fall within the definition of 'enterprise' under the competition norms as it is engaged in forming policies for health and public welfare.


    The ruling came on a complaint filed by Nashik-based Cupid Ltd, a company which is engaged in manufacturing and supply of male contraceptives and has been supplying it to the ministry since 2002.


    It was alleged that CMSS abused its dominant position by forcing Cupid to sign the agreement for supplying the contraceptives without negotiation and the agreement contains one-sided and unfair terms.


    Besides, by imposing varied printing requirements on the product, the company alleged anti-competitive practices by CMSS, so that the products cannot be sold to any other customer.


    For the case, the Competition Commission of India (CCI) considered "the market for male condoms in India as relevant" and found that CMSS cannot be considered to be a dominant player.


    Regarding anti-competitive practices, the CCI said the printing and packing requirements are only in respect of the product that is to be supplied to CMSS by the company.


    Moreover, conditions of the agreement neither restrict the company from dealing in goods other than those supplied to the ministry nor impose any restriction on the company to sell its goods to any buyer other than the ministry.


    Hence, "the Commission finds no prima facie case of contravention of the provisions of Section 3(4) or Section 4 of the Act" against the ministry and the CMSS.


    Sections 3 and 4 of the Competition Act pertain to anti-competitive practices and abuse of dominant market position, respectively.


    Also Read: Starpharma, Ansell to sell Anti-Zika Condoms For Olympics

    CCICentral Medical Services SocietyCMSSCompetition ActCompetition Commission of IndiacontraceptivesCupidmale condomsMinistry of Health and Family Welfareprima facie
    Source : PTI

    Disclaimer: This site is primarily intended for healthcare professionals. Any content/information on this website does not replace the advice of medical and/or health professionals and should not be construed as medical/diagnostic advice/endorsement or prescription. Use of this site is subject to our terms of use, privacy policy, advertisement policy. © 2020 Minerva Medical Treatment Pvt Ltd

    Farhat Nasim
    Farhat Nasim

      Farhat Nasim joined Medical Dialogue an Editor for the Business Section in 2017. She Covers all the updates in the Pharmaceutical field, Policy, Insurance, Business Healthcare, Medical News, Health News, Pharma News, Healthcare and Investment. She is a graduate of St.Xavier’s College Ranchi. She can be contacted at editorial@medicaldialogues.in Contact no. 011-43720751 To know about our editorial team click here

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