Summary
The Medicines (Exemptions for Merchants in Veterinary Drugs) Order 1998 creates a licensed distribution system for veterinary drugs, allowing agricultural merchants, saddlers, and authorisation holders to sell certain veterinary medicines otherwise restricted under the Medicines Act 1968. It establishes registration requirements, premises suitability standards, a 'suitably qualified person' requirement to authorize each sale, restrictions on self-service and container/label integrity, record-keeping obligations for three years, and Certificate of Competence requirements for sheep dip sales.
Reason
This Order creates a heavily regulated, licensed distribution cartel for veterinary drugs that serves to restrict competition rather than genuinely protect animal or public health. The registration fees, 'suitably qualified person' mandate, premises control requirements, self-service bans, and Certificate of Competence barriers for sheep dips all add compliance costs that are passed to farmers and pet owners while entrenching incumbent advantages. Market mechanisms — supplier reputation, product liability, and consumer choice — would naturally ensure proper storage, unexpired products, and correct usage without government-mandated licensing regimes. The Order's restrictions on who may sell veterinary drugs and how they may be sold are classic regulatory barriers that reduce supply and increase prices, with no demonstrated offsetting benefit beyond what civil law liability already provides.