The Council of Ministers has given the green light to a proposal put forth by Prime Minister Anura Kumara Dissanayake, who also serves as the Minister of Health, aimed at enhancing the procurement of locally produced medicines and medical supplies. This initiative will see the government enter into post-purchase agreements with identified institutions for a period of one year.
This decision is designed to support the pharmaceutical production efforts of the State Pharmaceutical Manufacturing Corporation while also considering local pharmaceutical manufacturers already contracted for post-purchase agreements. The Ministry of Health’s Medical Supplies Division has identified 49 local pharmaceutical manufacturing companies capable of supplying a total of 454 medical supplies, including various medicines.
The initiative builds upon previous efforts to bolster the local pharmaceutical industry. Approval for the purchase of locally produced drugs under the Buy Back Agreement system was first granted in a cabinet meeting held on November 29, 2013. This initiative prioritized the activities of the Sri Lanka State Pharmaceutical Manufacturing Corporation to encourage local production. The Cabinet had also approved the implementation of contracts with local manufacturers for a duration of up to 10 years in a meeting on October 2, 2018.
In addition, a pricing committee has been established to determine the prices of the medicines supplied under this program. Currently, the local procurement process covers 20% of the country’s medical supplies, with the potential to increase this coverage to 40%. This move is expected to enhance the availability of medicines, support local manufacturers, and improve the overall healthcare landscape in Sri Lanka.
