The only local distributor supplying the heart disease medication, Papaverine Hydrochloride, to Sri Lanka’s public health sector has submitted a significantly high-priced bid of Rs. 49,000 per ampoule to the State Pharmaceuticals Corporation (SPC), according to sources.
This marks the fourth attempt by Yadan International (Private) Limited to secure the tender, after its three previous bids were rejected by the Technical Evaluation Committee of the Health Ministry due to excessively high prices.
Initially, Yadan International bid Rs. 73,000 per ampoule, but this was rejected, prompting a recommendation for re-tendering. The company then submitted a second bid in May last year at Rs. 48,199 per ampoule, which was also turned down. A third attempt in December, with a price of Rs. 50,050 per ampoule, was likewise rejected.
The latest bid, presented in February, quotes nearly Rs. 50,000 per ampoule and is currently awaiting evaluation.
Due to these ongoing procurement issues, the government-funded health sector is now without this critical medication, forcing patients to purchase it privately at significantly lower costs—ranging from Rs. 300 to Rs. 350 per ampoule.
Medical professionals familiar with the matter point out that a box containing ten ampoules can be procured from India for approximately Rs. 75, emphasizing the substantial price discrepancy. Notably, Yadan International sources its supplies from an Indian manufacturer, Mercury Laboratories Limited.
The Sri Lankan Association of Cardiothoracic and Thoracic Surgeons has reportedly notified former Health Ministry Secretary Palitha Mahipala, current Secretary Anil Jasinghe, and the Director General of Health Services regarding this alarming situation.
Attention was recently drawn to this issue after it was disclosed that the same drug had previously been sold to the public health sector at prices ranging from Rs. 34,000 to Rs. 76,500 per vial since 2018. This matter was exposed last year when a cardiothoracic surgeon serving on the Technical Evaluation Committee raised concerns about these inflated prices.
In January, Health Minister Nalinda Jayatissa publicly stated that several politicians may be connected to the local supplier, though this claim has not been independently verified. Minister Jayatissa announced that an investigation would be initiated to ascertain how approval was previously granted for the procurement of the medication at such exorbitant prices. He further disclosed that the government had spent Rs. 342.49 million importing this drug from 2019 to 2023.
Additionally, Minister Jayatissa confirmed that the National Medicines Regulatory Authority’s Pricing Committee would now scrutinize regional pricing before renewing any drug registrations.
