South Africa DoH's $468M tender for ARVs

South Africa's Department of Health has awarded a tender to the value of 3.62 billion rand ($468.1 million) over two years for procurement of antiretroviral drugs to support the implementation of the comprehensive response to HIV and AIDS in the country.

The Department said it is "delighted to note that, with most of the items, the price is lower than it was in the last tender." The percentage decrease ranges from 20% to 71%. Only one item (efavirenz 200mg, which has a sole supplier) shows an increase of 24%. It attributes the reduction in price to the higher volumes and generic entry, as well as a more competitive climate.

The awards vary from 1.9% to 56.8% of the total value, spread over six suppliers. The tender was awarded as follows: GlaxoSmithKline - 6.9%; Aspen Pharmacare - 56.8%; Adcock Ingram - 20.9%; MSD (Merck & Co group) - 9.1%; Cipla Medpro - 1.9%; and Sonke - 4.5%. Six items have not been awarded and arrangements for their procurement will soon be made.