Health supplements in Daiso

[Anchor]

There was a recent incident where Daiso, a household goods store, started selling health supplements at relatively low prices, but soon discontinued some products.

This occurred shortly after the Korean Pharmaceutical Association issued a statement, raising questions about whether there was pressure from the association, prompting the Fair Trade Commission to launch an investigation.

Reporter Kim Min-kyung has the details.

[Report]

Daiso began selling health supplements in over 200 stores nationwide starting from Feb. 24.

Nutritional supplements such as Coenzyme Q10, iron, and vitamins were priced at less than 5,000 won.

At one point, there was a shortage of products, as prices were up to one-fifth cheaper than pharmacies.

[Kim Chae-won/Suwon, Gyeonggi Province: "There are reliable brands available, so if people around me say it's good, I think I would try buying it once."]

In response, the Korean Pharmaceutical Association expressed its opposition.

Just four days after the sales began, they issued a statement.

The statement urged pharmaceutical companies not to market their products as being supplied to Daiso at lower prices than pharmacies.

Despite the differences in ingredients and content between pharmacy products and Daiso's, the association claimed that the marketing created a misunderstanding that pharmacies were making excessive profits.

Consequently, Il-Yang Pharmaceutical decided to withdraw its products from Daiso the very next day.

There was backlash claiming that consumer choice was being infringed upon.

[Lee Jeong-soo/Secretary-General of the Korea National Council of Consumer Organizations: "By presenting certain opinions to pharmaceutical companies, the Pharmaceutical Association may have created a burden for them, leading to their withdrawal from distribution, which ultimately restricts competition..."]

The Fair Trade Commission has initiated an on-site investigation into the Korean Pharmaceutical Association.

If the association used its superior position to restrict the sales of pharmaceutical companies, it would be a violation of the Fair Trade Act.

The Pharmaceutical Association has not issued a separate statement and has indicated that it will observe the investigation by the Fair Trade Commission.

This is KBS News, Kim Min-kyung reporting.