SADC pools buying power for medicines

SADC marked a significant milestone in regional health cooperation on 12 November in Durban, South Africa, during a side event of the joint meeting of SADC ministers of health and ministers responsible for HIV and AIDS.

The event, held under the SADC Pharmaceuticals Pooled Procurement Services (SPPS) initiative, featured a ceremonial signing of the SPPS Charter and commitments by member states to participate in regional pooled procurement of medicines and health commodities.

The United Republic of Tanzania (URT) became the first member state to sign the SPPS Charter, while South Africa, Mozambique, Lesotho, Seychelles and URT were identified in the programme for signing commitments to participate in the Group Contracting mechanism.

For years, SADC member states have largely purchased medicines individually, limiting their bargaining power and contributing to higher costs. Through SPPS, countries will be able to combine their purchasing power, negotiate more competitive prices and improve access to quality-assured, affordable medicines. The initiative has the potential to generate annual savings of US$200-400 million once fully operational, according to SADC secretariat projections.