The Competition Commission of Pakistan (CCP) has set guidelines for pharmaceutical and herbal enterprises to advertise, market, and sell weight loss goods.
The development comes after the CCP issued a suo moto notice to companies who advertise, market, and sell weight-loss products while obfuscating the products’ potential negative effects.
The CCP took action against 14 pharmaceutical and herbal enterprises that were advertising, marketing, and selling weight-loss treatments while obfuscating the items’ potential negative effects.
A CCP bench made up of senior members issued an injunction against companies that offer thsese products, demonstrating that the whole industry engages in dishonest marketing techniques.
It was discovered that the respondent companies’ conduct and potential anti-competitive impacts had interprovincial spillover effects, as the respondents operated and sold their products throughout Pakistan, including the federal capital, in addition to their online operations via websites.
The anti-competitive behavior would have an impact on trade and commerce that extended beyond the borders of a single province or region.
The CCP bench found that commercials produced a fictional perception regarding weight loss items, and the public was eventually convinced that these products had amazing results in a small length of time.
It was noticed that the businesses had been advertising/marketing and selling these medications without disclosing any potential negative effects that could emerge as a result of regular use.
“The companies have also failed to disclose to their consumers the potential impact their product can have on people having different medical conditions, such as diabetes, hypertension, allergies, etc., which may cause life-endangering effects on consumers suffering from certain medical conditions,” CCP bench said.
The bench came to the opinion that misleading marketing, as defined by Section 10(2)(b) of the Competition Act, was an industry-wide practice, and that the market for weight loss goods and dietary supplements had long been uncontrolled.
“The Bench, therefore, is inclined towards corrective behavior in this matter, and has decided not to impose penalties on any of the Respondents, however, the Bench has decided to issue guidelines in terms of marketing of weight loss products,” the order reads.
The CCP has given the following rules to all companies promoting weight loss goods in the market, based on the guidelines provided by the Competition Bureau Canada for weight loss products.
The undertaking advertising a weight reduction product must hold and rely on competent and reliable scientific evidence to verify that the representation is truthful in order to justify the weight-loss claims.
When it comes to weight-loss promises, testing must be appropriate and proper, and companies selling weight-loss products should take special care to ensure that testing is done correctly and in a controlled environment to account for other variables.
To read our blog on “Pharma Industry threatens to shut down medicine factories over tax issues,” click here.
