NEW DELHI: India is exploring all options, including the provisions of the Essential Products Act, the Medicines and Cosmetics Act, and the Disaster Management Act, to secure adequate stocks and negotiate a reasonable price for Covid injections, even as the large-scale national vaccine. manufacturing capabilities give you a solid edge in negotiating with companies.
For example, Section 3 of the Essential Products Law gives the Center “powers to control production, supply, distribution, etc. of commodities ”, which include vaccines. The provision also empowers the government to ask companies to sell “all” or “a specific part of the amount” to central or state governments, if necessary.
“These provisions are generally not used and the preferred option is to have discussions and negotiations with manufacturing companies, but in the event of extraordinary situations, there are appropriate provisions under existing legislation that the government can use to ensure adequate supplies for its citizens before stocks are sold. to other countries, ”a senior official told TOI.
Estimates show that, globally, companies can produce 2 to 4 billion doses of Covid vaccine by the end of 2021, of which India accounts for a majority share due to large-scale production capacity. Pune-based Serum Institute of India (SII), the world’s largest producer of vaccines by volume, has an additional capacity of 400 to 500 million doses, with aligned investments.
Industry executives say that, if scaled up, India can easily produce up to 200 million doses each month of the Covid vaccine alone. However, official sources say, imposing restrictions may be easier in the case of candidates for locally developed vaccines compared to those developed outside of India, such as the candidate from Oxford University and Russia’s Sputnik V, which will be boosted. by diplomatic negotiations.
While countries around the world are in the grip of the pandemic, developed countries have already blocked their actions with companies. Furthermore, there are also different international agencies and pacts, many of which also include India, which also have advance commitments to secure vaccines.
In such a situation, India will have to assert its position as the key global manufacturing partner regardless of which vaccine is first approved for use and regardless of where it is manufactured.
The government is also likely to cap the price of the vaccine in the public interest in a public health emergency under the Drug Price Control Order.
For example, Section 3 of the Essential Products Law gives the Center “powers to control production, supply, distribution, etc. of commodities ”, which include vaccines. The provision also empowers the government to ask companies to sell “all” or “a specific part of the amount” to central or state governments, if necessary.
“These provisions are generally not used and the preferred option is to have discussions and negotiations with manufacturing companies, but in the event of extraordinary situations, there are appropriate provisions under existing legislation that the government can use to ensure adequate supplies for its citizens before stocks are sold. to other countries, ”a senior official told TOI.
Estimates show that, globally, companies can produce 2 to 4 billion doses of Covid vaccine by the end of 2021, of which India accounts for a majority share due to large-scale production capacity. Pune-based Serum Institute of India (SII), the world’s largest producer of vaccines by volume, has an additional capacity of 400 to 500 million doses, with aligned investments.
Industry executives say that, if scaled up, India can easily produce up to 200 million doses each month of the Covid vaccine alone. However, official sources say, imposing restrictions may be easier in the case of candidates for locally developed vaccines compared to those developed outside of India, such as the candidate from Oxford University and Russia’s Sputnik V, which will be boosted. by diplomatic negotiations.
While countries around the world are in the grip of the pandemic, developed countries have already blocked their actions with companies. Furthermore, there are also different international agencies and pacts, many of which also include India, which also have advance commitments to secure vaccines.
In such a situation, India will have to assert its position as the key global manufacturing partner regardless of which vaccine is first approved for use and regardless of where it is manufactured.
The government is also likely to cap the price of the vaccine in the public interest in a public health emergency under the Drug Price Control Order.
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