A recent study by the Chilean Competition Agency (Fiscal\u00eda Nacional Econ\u00f3mica, \u201cFNE\u201d) revealed that its intervention in the market for the anti-inflammatory drug Celecoxib\u2014primarily indicated for the treatment of inflammation and chronic pain related to osteoarthritis and rheumatoid arthritis in adults, as well as for the management of acute pain\u2014generated savings exceeding US$346 million for consumers and the government between 2017 and 2024.<\/p>\n
According to the analysis prepared by the FNE\u2019s Antitrust Division, titled \u201cImpact Assessment: FNE Intervention in the Celecoxib Market\u201d, the authority\u2019s enforcement activity led to price reductions, an expansion of supply, and improved efficiency in public spending in a particularly sensitive sector such as the pharmaceutical market.<\/p>\n
National Economic Prosecutor Jorge Grunberg emphasized that these results demonstrate the tangible benefits that timely action by the FNE brings to the country. \u201cThis analysis clearly shows how our work can improve people\u2019s lives and optimize public spending in markets as sensitive as the pharmaceutical sector\u201d, he stated.<\/p>\n
He added that the agreement reached by the authority \u201ccorrected a monopolistic distortion and consolidated a competitive dynamic in the sale of Celecoxib-based medicines, the results of which are clearly reflected in the impact assessment carried out by the FNE\u201d.<\/p>\n
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The Celecoxib Case<\/strong><\/p>\n In 2015, the FNE initiated an investigation against G.D. Searle LLC, a subsidiary of Pfizer Inc., for implementing a strategy aimed at artificially extending the exclusivity of the drug CELEBRA\u00ae through a secondary patent\u2014a practice known as evergreening. This conduct sought to prevent the entry of generic bioequivalent medicines until 2029, delaying the availability of more affordable alternatives for patients.<\/p>\n In 2016, the FNE filed a complaint before the Competition Tribunal (Tribunal de Defensa de la Libre Competencia), which concluded with a settlement agreement requiring the company to: grant royalty-free licenses to competitors; refrain from promoting secondary brands of Celecoxib for two years; abstain from exercising administrative or judicial actions related to the secondary patent and withdraw existing legal actions; terminate onerous licensing agreements with potential competitors; and inform the general public, drug distributors, and pharmacies of the existence of the settlement agreement and its most relevant aspects.<\/p>\n The FNE\u2019s action resulted in the removal of artificial barriers that hindered competition in the Celecoxib market, generating effects reflected in three dimensions:<\/p>\n Despite these advances, the impact assessment warned that significant information asymmetries persist, making it difficult for consumers to identify and choose the most affordable generic bioequivalent medicine.<\/p>\n In the case analyzed, the FNE concluded that the existence of a public policy recommended by the FNE in its Market Study on Medicines of 2020 aimed at addressing this problem could have generated additional savings of approximately US$98.5 million during the 2017\u20132024 period.<\/p>\n The FNE will continue to actively monitor the pharmaceutical market, given its relevance to Chilean household budgets and the public health system.<\/p>\n\n