Estonia, EU – Baltic States, Legislation, Markets and Companies, Medicine

According to the association, Ülikooli Apteek is taking advantage of its special status in competition in Estonia, informs Baltic Business News.

According to the association, YA which in Finland has a special status is expanding in Estonia by using the assistance that it receives from the Finnish state.

“Ülikooli Apteek is paying some of its profit to the Helsinki University and this part is being used for investing in other markets. The margin of the company in Finland is four times higher than in Estonian-owned pharmacies,” said Tanel Teras, board member of the association who also signed the letter addressed to Ratya.

Teras also said that ÜA is strongly promoting liberalization of the pharmacy regulations in Estonia because it would enable them to open new pharmacies in Estonia.

In the letter, the association requests that the Finnish state reclaims state support paid to the company, and says that if it’s not done it will notify the European Commission.

Commenting the letter, Jukka Niemi, CEO of Yliopiston Apteekki, says that he has seen it and it’s all untrue.

“It’s pure propaganda. Our company in Estonia is operating by current laws and we are not cross-using our profits,” he added.

Niemi also said that YA’s subsidiary in Estonia that was launched in 2004 has 13 pharmacies and three pharmaceutical stores.

“There are a total of 478 general pharmacies in Estonia. Ours is the smallest chain. 80% of the Estonian market of pharmacies is divided between two companies, Magnum Medical and Tamro,” added Niemi.