The Hungarian Competition Authority (GVH) has initiated a rapid sectoral investigation into the domestic mosquito control market, primarily examining the reasons behind single-bid public procurements and the market behavior of bidders.

In 2024, the GVH identified three sectors with a high proportion of single-bid procurements, having already investigated the medical imaging diagnostic equipment market and the vehicle procurement market. The authority aims to uncover and prevent public procurement cartels to ensure the transparent use of public funds.

In early 2023, the Hungarian government adopted an action plan aimed at increasing competition in public procurement, with a goal to significantly reduce the proportion of single-bid procurements in the country. The GVH has been tasked with conducting three sectoral investigations to explore the causes of these single-bid procurements.

The investigation into the mosquito control market is particularly significant due to the high rate of single-bid procurements in environmental services compared to other public procurements. The GVH emphasizes the importance of ensuring intense and fair competition in public procurement to keep prices low and foster innovation in green solutions.

The GVH's investigation will analyze the competitive conditions in the mosquito control service procurement market, assessing the participants involved, recent market conditions, bidder behavior, and other factors contributing to the high number of single-bid procurements.

This rapid sectoral investigation is a procedure outlined in competition law to identify market problems when circumstances indicate a distortion or limitation of competition, necessitating urgent intervention in the sector. The GVH will collect and analyze information from market players to uncover the detailed causes of competition distortion.

Upon completion of the information gathering and data analysis, the GVH will summarize the results of the rapid sectoral investigation in a public report, which must be prepared within 30 days, extendable under justified circumstances.

According to data from the Public Procurement Authority, the proportion of single-bid contracts is continuously decreasing in Hungary, indicating a revival of market competition. The share of such contracts in the national procedure has dropped from 16.8% in the first half of 2023 to 13.3% in the first half of 2025.