EXCLUSIVE

Pharmacists can expect to see a growing trend for exclusive wholesaling deals, as manufacturers put more of their products out to tender, Lloydspharmacy and AAH parent company Celesio has said.

The company had seen "a clear tendency" for UK suppliers to pick a single distributor for their products in order to "increase the efficiency of their supply chain", Celesio chief marketing officer Stephan Borchert told C+D in an exclusive interview.

Mr Borchert made the comments in February, the same month that AAH announced its third exclusive distribution deal, with oncology and pain treatment manufacturer Archimedes Pharma.

Exclusive distribution deals are an example of the pharmaceutical industry "adapting" and are often the manufacturer's choice, says Celesio UK managing director Cormac Tobin	More on supply deals Independents blame supply deals for dispensing losses PSNC boss rallies pharmacists to fight exclusive distribution deals ‘No plans' for OFT to look at recent exclusivity deals
	Celesio UK managing director Cormac Tobin told C+D that these distribution deals were an example of the pharmaceutical industry "adapting" and were often the manufacturer's choice.

"A lot of it is down to the manufacturer who wishes to only send [the product] through one channel, it's not a decision we take. A manufacturer says, ‘we're putting this out to tender, we want the best services [and] the best price'," Mr Tobin said.

Celesio had also approached manufacturers to secure exclusive rights to stock certain products, such as the Face D facial cream range, he added.

Last month, PSNC warned that the AAH's deal with Archimedes, which follows similar distribution arrangements by other manufacturers, would "further reduce competition in the wholesaler market".

Last week, the NPA launched a consultation to create "quality standards" for wholesalers, in response to the increase in exclusive distribution deals.These deals meant that choice was not always available for independent pharmacies, the NPA said.

AAH announced its first exclusive distribution deal, with manufacturer Ferring Pharmaceuticals, in October last year. At the time, PSNC chief executive Sue Sharpe told pharmacists that they should take a stand against these deals, as they were in danger of corrupting the entire supply chain by bypassing pharmacists altogether.

	Are exclusive distribution deals a good or a bad thing?   We want to hear your views, but please express them in the spirit of a constructive, professional debate. For more information about what this means, please click here to see our community principles and information