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German Pharmacists Demand Action as Foreign Drug Discounts Resume

Newly resumed discounts on prescription drugs threaten fixed-price rules, jeopardizing the viability of local pharmacies

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Overview

  • A July ruling by the Federal Court of Justice removed binding price restrictions on EU-based mail-order pharmacies, enabling foreign vendors to offer bonuses on prescription medicines.
  • The German Pharmacists’ Association, led by Thomas Preis, has called on Health Minister Nina Warken to enforce the Social Code and penalize illegal discounting by foreign mail-order sellers.
  • Pharmacists warn that unregulated bonuses could ignite a destructive price race, undermine national price binding and worsen shortages affecting around 550 medicines.
  • Over 4,500 German pharmacies have closed since 2008 amid stagnant dispensing fees and rising operating costs, leaving many urban neighborhoods and rural areas without local drug access.
  • The association is pressing for a substantial increase in pharmacy remuneration after more than a decade without significant fee hikes to stabilize community supply services.