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Supply and procurement

Both multinational vaccine suppliers and a growing number of developing country manufacturers produce vaccines used in the world's poorest countries. A larger number of producers and bigger orders together create a more stable maket for vaccines and a decline in prices.

The GAVI Working Group endorsed the recommendation of the Strategic Advisory Group of Experts (SAGE) to provide support for combination products which are easier to introduce than a stand-alone antigen that requires an additional injection. However, the trade-offs involved in this choice – relatively higher prices and a limited supply base – were not fully analysed with regard to expected price decreases and increases in the number of manufacturers able to meet WHO pre-qualification requirements. As a result, GAVI has reassessed its ability to influence the market and improve its supply and procurement activities. Read more (Word - 40K) on GAVI’s activities in this area.

In 2002, the GAVI Financing Task Force commissioned a report on vaccine procurement (PDF - 385K) which found a number of shortcomings, including inaccurate demand forecasts and timelines to scale-up support for combination products. It recommended a more integrated supply and procurement system.

A new set of procurement principles was developed by UNICEF and the Bill and Melinda Gates Foundation and approved by the GAVI Board. In addition, the Boston Consulting Group was commissioned to report on how GAVI could better work with suppliers. A supply strategy group was formed with the GAVI partners in the summer of 2005 to consider improvements (PDF - 561K) in this area. Its recommendations resulted in the creation of a procurement reference group which provided advice and input to the most recent procurement round for Hib- and HepB-containing vaccines for 2007-2009. Read the procurement reference group report (Word - 181K).