Sourcing & Management of Health Products

The Global Fund / Karin Schermbrucker

COVID-19 Procurement and Supply Update for Global Fund Principal Recipients

19 March 2020

The Global Fund continues to work closely with our technical partners, especially the Stop TB Partnership's Global Drug Facility and our procurement service agents, as the global response to the COVID-19 pandemic evolves.

Our goal is to continue to process requisitions efficiently and effectively, and work with our freight providers to ensure products are delivered as close to the promised dates as possible. We are assessing the manufacturing and logistics situation and sharing regular updates to provide clarity on the supply security situation for products and freight/logistics.

This page contains a summary of letters sent to Global Fund Principal Recipients.

Letters to Principal Recipients
19 March 2020

Overall:

  • The impact to manufacturing is limited. There were some delays in the manufacturing of both finished products and raw materials as a result of the initial shutdown in China which is now showing signs of normalization.
  • Delivery delays of a few weeks or more are currently expected. We now see challenges related to freight and logistics such as disruptions in delivery schedules or shortages of shipping containers.

Impact on future orders

Starting on 19 March, we have taken the following measures to reduce manufacturing and supply chain pressures to be able to optimize supply for all Principal Recipients in the context of a rapidly changing situation:

  • Principal Recipients to urgently submit all requisitions for deliveries expected in 2020 by 10 April 2020 for all grants. This replaces our revised lead times recommendation on 6 March and the guidance in Category and Product-Level Procurement and Delivery Planning Guide Indicative Lead Times [ download in English | Français ] . Principal Recipients participating in the Pooled Procurement Mechanism should submit requisitions in wambo.org by the 10 April deadline. Principal Recipients should submit procurement request forms to the Global Drug Facility by April 10.
  • New requests for customized labeling requests will not be accepted to ensure that products can be quickly manufactured and efficiently deployed to all countries.

Should the supply or logistics situation significantly worsen, Principal Recipients should accommodate greater flexibilities, such as reducing remaining shelf life requirements, accepting later deliveries for some quantities or to consider using alternative WHO-recommended products if there are supply shortages. Please consider these potential adjustments when planning future procurements and discuss alternate options with relevant in-country stakeholders.

Support for current deliveries

Principal Recipients should use available track-and-trace tools to monitor the progress of specific orders. Extra collaboration is necessary as we foresee changes to delivery schedules and freight providers. Please discuss exercising flexibilities with regards to producing required documentation under expedited timelines with the pertinent in-country stakeholders and national regulatory authorities. We appreciate your support in providing timely feedback on approval of expiry dates, greenlighting shipments and obtaining necessary waivers. We have already seen increased freight costs.

The Global Fund, the Stop TB Partnership and procurement service agents will reach out to implementing partners to proactively take measures to minimize impact on deliveries where delays of more than 30 days are expected.

Contact your Global Fund Principal Recipient Services focal point, the Stop TB Partnership and your procurement service agents for further information and discuss with your Global Fund Country Team as necessary.