The list of the cheapest cross-border goods is starting to get much longer – the differences in pharmaceutical prices are partly severe.
Most Norwegians know that it is much cheaper to buy meat, alcohol, cigarettes and cigarettes in Sweden.
Recently, Nettavisen was able to reveal that identical foods, which are also very different from those mentioned above, get two and three times higher prices when you cross the border into Norway.
But there are several reasons to take a trip over the bar. A price comparison of pharmaceutical products such as balms, laxatives, abrasive patches, medicated creams, antacids, and laxatives shows a price difference of more than 60 percent.
A cart of 16 items would be more expensive in Norway at over NOK 1,000.
Read the entire price test down the box.
We’ve tested the prices of 63 items across the border – some three times more expensive in Norway
Sweden may have better negotiating conditions
Kurt Brekke is an expert in the pharmaceutical and health market, and is a professor at the Norwegian School of Management (NHH).
He believes that there are several reasons for the price gap that Nettavisen price comparison shows.
Sweden is a much larger country, and like Norway it has commercial pharmacy chains. This could give them more purchasing power than Norwegian chains, says Bricky.
Thus, Swedish pharmacy chains have a greater opportunity to negotiate the purchase of goods, which in turn can give them a lower purchase price.
Brekke relies on the fact that the items in the Nettavisen shopping cart come from the same manufacturer.
Price tests show:
- The additional price is from 11 to 200 kroner for the same product.
- Similar pharmaceutical products get a double discount and more than double in Swedish pharmacies.
- Biggest price difference on antacids, emollients, pregnancy tests and laxatives.
- The cost of more than 70 kroner for pregnancy tests in Sweden.
- Over 100kr more expensive for antacids.
- There are only two drugstore products that are cheaper in Norway, Cosmica shower oil and Panodil pain reliever.
- Norway shower oil has 50% off discount.
Swedish-Norwegian spread expert: – Then they charge an artificially high surcharge
Norway has fewer competing chains
– He says the competition in Norway is weaker, we have fewer chains competing for customers, and this allows for a higher price for the customer.
According to the expert, the Norwegian pharmacy market has many similarities with the grocery industry.
They both have three big chains that control the entire Norwegian market. In Norway, German-owned Apotek1 controls 45 percent of the market. Vitus pharmacies and British Boots own the rest of the Norwegian market.
Like the grocery market, all chains have their own wholesalers. Brickey explains that pharmacies that do not belong to chains buy from one of these pharmacies.
Does the pharmacy industry earn more in Norway than in Sweden?
– It is not good to say whether the industry is profiting more in Norway. It depends on whether Sweden and Norway have equal purchase prices. But also differences in the level of taxes. If fees in Norway are higher, there may be an explanation for the price gap shown by Nettavisen, he said.
Apotek 1 Press Director Silje Ensrud comments on the price gap between Norway and Sweden as follows:
– Silje Ensrud, Press Director at Apotek 1, says that the reason for the price differences between pharmacies in Norway and Sweden is largely because we have higher transportation costs and labor costs.
She stressed that higher prices applied to the entire value chain.
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