Can a Bangladeshi consumer join a group action for cartel price-fixing in essential medicines?

Dear Sir/Madam, Thank you for reaching out with your question regarding remedies under Bangladesh competition law for price increases caused by cartels among medicine manufacturers. In Bangladesh, group or representative actions for claiming damages are not generally permitted; claims must usually be filed individually. You would need to provide evidence showing the cartel's anti-competitive conduct, causation of harm, and the quantum of damages suffered. Compensation is typically calculated based on actual financial loss incurred. If you wish, I can offer you a detailed consultation over WhatsApp at a modest fee to guide you further on this matter. Please let me know if you are interested. Best regards.

Bangladesh’s Competition Act 2012 does not provide any group or representative damages mechanism, so victims of a cartel must generally pursue individual civil claims (e.g., in tort or consumer law) alongside or following a complaint to the Bangladesh Competition Commission (BCC), whose findings can support those suits. To claim compensation, the claimant would need evidence of the cartel (communications, coordinated price movements, industry behaviour), proof of purchases and prices paid, and an economic analysis showing the overcharge—the difference between actual and “but-for” prices—typically calculated as overcharge × quantity, with adjustments for pass-on. Should he wish to explore this further or seek formal assistance, you may contact our chamber for guidance and representation.

In Bangladesh, the legal framework for addressing anticompetitive behavior, such as cartels in essential medicines, is primarily governed by the Competition Act, 2012. However, pursuing damages as a consumer is currently complex due to the absence of a specific "class action" or "representative action" mechanism within this Act.

1. Can You Join a Group Action?

As of 2026, Bangladesh does not permit group or representative damages actions specifically under competition law.

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  Individual Claims: Claims for damages must generally be filed individually in civil courts (under tort law or the Consumer Rights Protection Act, 2009).

  
  


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  Writ Petitions (Public Interest Litigation): While you cannot claim personal financial damages through a Writ, groups like Human Rights and Peace for Bangladesh (HRPB) or the Consumers Association of Bangladesh (CAB) often file Public Interest Litigations (PILs) in the High Court to challenge systemic price hikes. In late 2025, a landmark High Court ruling declared that uncontrolled drug prices violate the constitutional right to life, directing the government to regulate all life-saving medicines.

  
  

2. Forums and Remedies

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  Bangladesh Competition Commission (BCC): This is the primary regulator. You can file a complaint with the BCC. If they find a cartel exists, they can impose administrative fines (up to 10% of the annual turnover of the guilty companies).

  
  


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  Directorate General of Drug Administration (DGDA): For essential medicines, the DGDA has the power to fix Maximum Retail Prices (MRP). Violations can lead to the cancellation of manufacturing licenses.

  
  


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  Civil Courts: Once the BCC or a court establishes that a cartel exists, you can use that finding as evidence in a separate civil suit for damages.

  
  

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3. Necessary Evidence for a Cartel Case

To succeed, a claimant (or the BCC) needs "sufficiently precise and coherent proof." Since cartels are secret, courts often accept circumstantial evidence:

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  Parallelism: Showing that multiple manufacturers increased prices for the same medicine simultaneously without a corresponding increase in raw material costs.

  
  


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  Communication: Any evidence of "gentlemen's agreements," trade association meeting minutes, or coordinated tender bids (bid-rigging).

  
  


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  Market Analysis: Data showing that the market is highly concentrated and that price movements do not reflect supply-and-demand logic.

  
  


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  Proof of Purchase: Receipts and invoices showing the "overcharge" you personally paid.

  
  

4. How Compensation is Calculated

If a civil court allows a damages claim, the standard formula is:

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  "But-for Price": This is the hypothetical competitive price that would have existed if there was no cartel. Experts use econometric models or "time comparison" (prices before the cartel vs. during the cartel) to estimate this.

  
  


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  Interest: Claimants can also ask for interest on the overcharged amount from the date of purchase.

  
  

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Strategic Recommendation

Instead of filing a lone lawsuit, your most effective path is to file a formal complaint with the Bangladesh Competition Commission (BCC) and simultaneously engage with the Consumers Association of Bangladesh (CAB). A successful BCC investigation provides the legal foundation you need to then seek damages in a civil court.