The National Grocers Association (NGA) commends the Federal Trade Commission (FTC) for bringing a lawsuit against several pharmacy benefit managers (PBMs) for abusing their economic power and harming both competition and consumers in the pharmacy supply chain for insulin.
Community pharmacies have been decimated by abusive PBM market practices that have left thousands of communities without access to life-altering and lifesaving medications. This lawsuit is a significant first step to addressing drug rebate schemes that enrich PBMs while harming retail pharmacy competition.
In recent years, independent grocers have been forced to shut down or sell their pharmacy businesses due to the destructive influence of PBMs. The few still left in operation are generally unprofitable, with grocers bearing the financial burden of running pharmacies because of their steadfast commitment to the local communities that they serve.
NGA will continue to monitor this lawsuit as it moves forward and advocate on behalf of independent grocers, who continue to be at the heart of the nation’s communities.
About NGA
NGA is the national trade association representing the retail and wholesale community grocers that comprise the independent sector of the food distribution industry. An independent retailer is a privately owned or controlled food retail company operating a variety of formats. The independent grocery sector is accountable for about 1.2 percent of the nation’s overall economy and is responsible for generating more than $250 billion in sales, 1.1 million jobs, $39 billion in wages and $36 billion in taxes. NGA members include retail and wholesale grocers located in every congressional district across the country, as well as state grocers’ associations, manufacturers and service suppliers.
[RELATED: NGA, Feeding America Brief Congress On SNAP Choice Importance]
