Procurement Procedure for Vertical Program Medicines

Session 16: Procurement Procedure for Vertical Program Medicines

Total Session Time: 120 minutes + X hours of Field trip/Assignment/ Tutorial

Prerequisites

None

Learning Tasks

By the end of this session students are expected to be able to:

Mention ways of procuring health services.

List Sources of fund for procurement of vertical Programs.

List of health products obtained from vertical programs.

State Procurement principles for Vertical Program Medicines

Resources Needed:

Flip charts, marker pens, and masking tape

Black/white board and chalk/whiteboard markers

SESSION OVERVIEW

Step

Time

Activity/

Method

Content

1

5 minutes

Presentation

Introduction, Learning Tasks

2

25 minutes

Presentation Buzzing

Ways of procurement health services.

3

30 minutes

Presentation

Source of fund for Procurement of Vertical Program.

4

20 minutes

Presentation

Health Products Obtained from Vertical Program.

5

30 minutes

Presentation

Procurement Principles for Vertical Program Medicines Presentation

6

5 minutes

Presentation

Key Points

7

5 minutes

Presentation

Evaluation

SESSION CONTENTS

STEP 1: Presentation of Session Title and Learning Tasks (5 minutes)

READ or ASK students to read the learning Tasks and clarify

ASK students if they have any questions before continuing.

STEP 2: Ways of Procurement of Health Services. (25 minutes)

Health services (curative and preventive) can be provided using two modes of delivery: horizontal and vertical.

By horizontal delivery; all services that are delivered through public financed health systems and are commonly referred as comprehensive primary care (WHO 1978).

Vertical delivery of health services implies a selective targeting of specific interventions not fully integrated in health systems (Banerji 1984; Rifkin and Walt 1986).

STEP 3: Source of Fund for Procurement of Vertical Program in Tanzania. (30 minutes)

Vertical program in Tanzania receive fund from government and support from various development partners.

It’s MSD role to ensure the availability of Vertical Program medicines and medical supplies in all health facilities across the country.

The Procurement, Storage and Distribution of the commodities strengthened resulted into increase the availability of ARV medicines, Reproductive supplies, TB /leprosy drugs and other drugs to treat emerging infections.

On the other hand MSD receives Health commodities under the support from various development partners such as :-

Global Fund,

UNICEF,

WHO and

USAID.

All partners either bring in specific health commodities to supplement GOT commodities or direct support in terms of fund for procurement of goods to be delivered to facilities.

The recipient may, except when otherwise required by the Global Fund, use its own procurement and supply management systems, rules, processes and procedures or, at its own discretion, a contracted local, regional or international procurement and/or supply management agent, selected in a competitive manner to conduct health products procurement and/or supply management.

OR

The Global Fund`s Pooled Procurement Mechanism: one of the main tools to implement the Market Shaping Strategy and associated health product sourcing strategies.

The mechanism serves 150 grant recipients in 60 countries.

STEP 4: Health Products Obtained From Vertical Program.(20 minutes)

Implementers can order the following core health products through the Pooled Procurement Mechanism

As used in this context, the term “health products” includes;

Pharmaceutical products

Durable and non-durable in-vitro diagnostic products, microscopes and imaging equipment.

Long-lasting insecticidal nets; and

Consumable/single-use health products (including condoms, insecticides, therapeutic nutritional support, general laboratory items and injection syringes), which are financed out of the grant funds.

Antiretrovirals (ARVs)

Artemisinin-based combination therapies (ACTs)

Long-lasting insecticidal nets

Rapid diagnostic tests (for HIV and malaria)

Viral Load and Early Infant Diagnostics

The Pooled Procurement Mechanism is managed by the Global Fund.

The Global Fund play a significant role in global markets for health products for these three diseases as a key financier and support countries get the most value for their investment.

When using Global Fund grants to purchase medicines and other health products, implementers must follow the Global Fund’s procurement policy, which outlines the type of stringent regulations all products must meet. Eg:

Attain cost efficiencies in procurement and supply management activities;

Ensure the reliability and security of distribution systems;

Encourage appropriate use of health products;

Enable the monitoring of all procurement and supply management activities and,

Support the timely procurement of quality-assured health products in adequate quantities.

STEP 5: Procurement Principles for Vertical Program Medicines (30 minutes)

The procurement of goods and services with grant funds shall be conducted in a manner that is based on the principles set out below:

Value for money: Procurement shall be conducted with the aim of obtaining value for money.

Competition: Procurement shall be carried out on a competitive basis to the maximum practical extent.

Efficient and Effective Procurement: Procurement shall be conducted in a manner that maximizes the efficient use of Global Fund resources and ensures that the goods and/or services procured effectively meet the requirements of the users.

Impartiality, Transparency and Accountability: Procurement shall be conducted in an impartial, transparent and accountable manner.

Procurement ethics: Procurement should not be in violation of the Global Fund’s Policy on Ethics and Conflict of Interest for Global Fund Institutions, Code of Conduct for Suppliers, and Code of Conduct of the Global Fund to Fight AIDS, Tuberculosis and Malaria.

In addition to the Global Fund’s existing polices for procurement practices, Principal Recipients must ensure that all pharmaceutical products are procured in accordance with the principles set out in the interagency guidelines.

In using pharmaceuticals, Principal Recipients are also expected to maintain pharmacovigilance.

Procurement plans are developed by the program with MSD based on the following:

Current inventory levels,

Issues data which is used as a proxy for consumption data,

Lead times from the suppliers and donors, and established stock levels.

The nationally established inventory control levels should have two months of stock and one month buffer stock at the health facilities; the district and regional levels should have 3 months of stock on hand and 3 months of buffer, and the national

Warehouse should have 12 months of stock with 12 months of buffer.

Most frequently abused substances include:

Alcohol

Tobacco

Marijuana

hashish

Over-the-counter drugs such as

dextromethorphan and pseudoephedrine

benzodiazepines like Ativan and Valium

Stimulants:

Methamphetamine or cocaine

Club drugs:

Ecstasy, ketamine, MDA, or Rohypnol

Hallucinogens:

LSD, mushrooms

Inhalants:

Glue, lighter fluid, gasoline, or paint thinner

Narcotic painkillers:

Codeine and morphine

STEP 6: Key Points (5 minutes)

Vertical delivery of health services implies a selective targeting of specific interventions not fully integrated in health systems

Vertical program in Tanzania receives fund from government and support from various development partners

STEP 7: Evaluation (5 minutes)

What are the procurement principles for vertical program medicines?

What are the sources of fund used to procure vertical program medicines?

References

MSH and WHO (2012). Managing Access to Medicines and Health Technology, (3rd Edition). Kumarian Press

MoHSW (2003). Tanzania, Food, Drugs and Cosmetics Act, Government Printers Dar es Salaam

MoHSW (2011). Pharmacy Act, Government Printers Dar es Salaam

United Republic of Tanzania (1971). the drugs and prevention of illicit traffic in drugs act, Government Printers Dar es Salaam

United Republic of Tanzania (2011). Public Procurement Act, Dar es Salaam

MoHSW (2003). The National Health Policy, Government Printers Dar es Salaam

MoHSW (1991). The National Drug Policy, Government Printers Dar es Salaam

United Republic of Tanzania (1993).Medical Stores Department Act,Government Printers Dar-es-salaam Figure 2f from: Irimia R, Gottschling M (2016) Taxonomic revision of Rochefortia Sw. (Ehretiaceae, Boraginales). Biodiversity Data Journal 4: E7720. https://doi.org/10.3897/BDJ.4.e7720. (n.d.). doi:10.3897/bdj.4.e7720.figure2f

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