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Rural pharmacies fight for survival against retail giants and unfair policies

Small-town pharmacies are on the brink, squeezed by rising costs and corporate rivals. Can new policies save them before it's too late?

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Rural pharmacies fight for survival against retail giants and unfair policies

State Secretary Dr. Sonja Optendrenk from the Hessian Ministry of Health recently visited the Noweda distribution centre to meet with CEO Dr. Michael Kuck. Their discussion focused on the growing challenges faced by local pharmacies, particularly in rural areas. Both highlighted concerns over unfair competition and the financial strain on traditional pharmacies compared to mail-order services and drugstore chains like Walgreens and CVS Pharmacy.

Optendrenk and Kuck addressed the economic pressures on pharmacies, which have worsened since the Apothekenversorgung-Weiterentwicklungsgesetz (ApoVWG) came into effect. The law aimed to support pharmacies through measures like higher pack fees (now €9.50), easier branch openings, and allowing pharmacy technicians to lead certain operations. Yet critics argue it has failed to balance the financial gap between rural and urban pharmacies, where larger outlets benefit from higher revenues.

The meeting underscored that rural pharmacies struggle with staff shortages, rising costs, and shrinking profits. Optendrenk stressed that these businesses are vital as first points of contact for medical advice, especially in underserved areas. She called for a strengthened fixed fee to ensure their economic stability and continued role in patient care.

Kuck echoed these concerns, stating that pharmacies need immediate financial relief and fairer conditions. He criticised the unequal regulatory burden, where traditional pharmacies face stricter rules than mail-order competitors. Hesse's government has already pushed back in the Bundesrat, rejecting proposals for 'pharmacies without pharmacists' and demanding better remuneration.

Both agreed that without fair compensation and regulatory balance, local pharmacies—key to accessible healthcare—could face further decline.

The discussion between Optendrenk and Kuck put a spotlight on the need for policy adjustments to support struggling pharmacies. While the ApoVWG introduced some reforms, its impact remains uneven, with rural areas still at a disadvantage. Without further action, the gap in healthcare access between urban and rural regions may widen, affecting patients who rely on local pharmacy services.

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