In this one year of the work of the new composition of the CPC, 1067 proceedings have been initiated, 1530 acts have been pronounced, we have 1384 complaints under the Public Procurement Act, 4 sectoral analyses are actively being worked on. There are 28 pending cases on unfair competition. There are eight active proceedings on tender manipulations, which is the cartel. Within 6 months we have identified and charged eight companies for three participations in a cartel. He said this in an interview for the program “More from the Day“ on BNT, the chairman of the CPC, Rosen Karadimov.
According to him, this concerns manipulated public procurement in various fields, including the supply of food for hospitals, kindergartens, nurseries, schools and universities. The commission is also investigating cases related to the supply of construction equipment.
“We have focused our attention on the cartel in public procurement because it is doubly dangerous. First, it distorts the market environment, as any cartel is. Second, however, it takes a huge public resource from the state“, said Karadimov.
He gave an example of public procurement for the supply of food for hospitals. According to him, in Sofia, three companies have divided the market and agreed on prices, and the practice has continued for years. “You take one hospital, I take another hospital and it's been like this for five years“, explained the Chairman of the CPC.
Karadimov also announced that the commission had received 25 signals from public procurement authorities about suspicions of cartel agreements. According to him, it is the contracting authorities who can provide the most adequate primary information, since they see the offers and documentation of the participants.
The Chairman of the CPC also commented on the initiated sectoral analysis of the market for medical devices and aids for people with disabilities. He pointed out that the value of this market exceeds 100 million euros per year and includes products such as bypasses, orthopedic and traumatological joints, prostheses, wheelchairs and hearing aids.
According to Karadimov, it makes no sense for the Ministry of Health and the NHIF to award the purchase of medical devices under different rules. He indicated that the CPC analysis will examine the way the market functions and will make recommendations to the executive and legislative branches.
Karadimov also touched upon the problems of the pharmaceutical sector. According to him, one of the main issues that the commission is considering is the so-called vertical concentrations - when the same structure controls production, wholesale and its own pharmacy network. According to him, this creates a risk that certain medicines will be directed to its own pharmacies, instead of being offered to the entire market.
He pointed out the shortage of medicines as another serious problem, including due to parallel exports. Karadimov said that in his opinion, the threshold at which it is assumed that the population is sufficiently provided with a given medicine and it can be exported has been reduced from 100% to 60%.
The Chairman of the CPC also stated that the commission has serious doubts about the protection of the SESPA system, which monitors the movement of medicines, and will propose measures to guarantee its security.
According to him, the three key markets that the CPC monitors - food, fuel and pharmaceuticals - have a total turnover of about 25 billion euros per year.