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Saxony's pharmacies face collapse as costs soar and reimbursements freeze

From 120 lost pharmacies to a March 23 shutdown protest—why Saxony's local drugstores are fighting for survival. Will government reforms come too late?

The image shows a pharmacy on the corner of a street, with glass walls and doors, posters on the...
The image shows a pharmacy on the corner of a street, with glass walls and doors, posters on the walls, and a road at the bottom.

Pharmacies struggle with shortages and online competition - Saxony's pharmacies face collapse as costs soar and reimbursements freeze

Pharmacies in Saxony are struggling to stay afloat as costs rise and reimbursement rates remain frozen. Since 2013, operating expenses have jumped by 65%, yet the fixed fee per medication package has not increased. Now, pharmacists are preparing to protest, with many closing their doors on March 23 in a nationwide demonstration.

The crisis has already taken its toll: last year alone, 18 pharmacies in Saxony shut down, while only five opened. Over the past decade, more than 120 have disappeared, leaving just 864 remaining across the state.

The financial strain is pushing many pharmacies to the brink. Over 30% in Saxony are now operating at a loss or facing serious financial risk. Reinhard Groß, a board member of the Saxon Pharmacists' Association, has voiced concern over the shrinking number of local pharmacies. He warns that without urgent changes, the situation will worsen.

Competition from online pharmacies is adding to the pressure. Some, like the one advertised by TV host Günther Jauch, focus on selling only the most profitable products. This cherry-picking leaves traditional pharmacies with less revenue while still shouldering the cost of providing essential services. Another major issue is the chronic shortage of medicines. More than 500 medications are currently unavailable or in short supply, forcing pharmacists to spend extra time sourcing alternatives. The strain comes as the federal government proposes raising the fixed fee per package to €9.50 and expanding pharmacists' roles in healthcare. The protest on March 23 coincides with the annual conference of Saxony's pharmacists in Chemnitz. While many pharmacies will close for the day, emergency services will remain available to ensure patients can still access urgent care.

The protest highlights the growing instability in Saxony's pharmacy sector. With costs rising, reimbursements stagnant, and competition intensifying, the survival of local pharmacies hangs in the balance. The government's planned fee increase and expanded roles may offer some relief, but the long-term impact remains uncertain.

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