Procurement

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Male warehouse worker at invetory management
Male warehouse worker at invetory management
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Photo Credit: USAID Kenya
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The USAID Global Health Supply Chain Program-Procurement and Supply Management (GHSC-PSM) project expects to fund procurement of about $4.4 billion worth of health commodities through the global supply chain over the life of the project. Our global supply chain Source team is responsible for developing sourcing strategies and managing the competition process fairly and transparently with the release of requests for proposals or requests for quotations.

For the global supply chain, we use a range of contracting vehicles, from long-term commitments such as blanket purchase agreements and indefinite delivery/indefinite quantity contracts, which allow for repeat orders during a specified time, to simple one-off purchase orders.

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Targeted Local Procurement
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Most of our global supply chain procurements are sourced internationally in large volumes for best value and assured supply. However, we have developed a protocol for targeted local procurement when it is in line with our market analysis. Laboratory commodities and essential medicines are some of the items commonly procured at the local level. Local sourcing and procurement continue to be a key component of providing the best value to USAID and its partners by lowering the landed costs of products and shortening lead times to meet demand.

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Procurement Technical Assistance
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As part of our supply chain technical assistance, staff in country offices, supported by specialists at GHSC-PSM headquarters, work with ministries of health and other entities to streamline and update their policies and processes for procuring health commodities. Establishing standardized procedures for procurement helps eliminate parallel systems that create inefficiencies and inadequate resource allocation.

We have staff embedded in government agencies to provide day-to-day mentoring in competitive solicitation processes and effective contract management, leading to more transparency and responsible use of financial resources for medicine procurement.

News & Highlights

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November 3, 2020
In response to COVID-19, the USAID Global Health Supply Chain Program-Procurement and Supply Management (GHSC-PSM) project took USAID’s lead in helping to mitigate the pandemic by delivering nearly 9,000 ventilators to over 40 countries. Since May 2020, GHSC-PSM leveraged its network to provide…
Success Stories
January 5, 2021
In a move towards self-reliance, in 2016, the Prime Minister of Vietnam issued a decree to use Social Health Insurance (SHI) funds for centralized procurement and reimbursement of antiretrovirals (ARVs) for 106,000 people living with HIV instead of from donor programs. For more than a decade, the…
Success Stories
December 11, 2020
The rapid spread of COVID-19 worldwide led to shortages of personal protective equipment (PPE) in health care facilities in many parts of the world – including Central America. The lack of PPE, especially appropriate facial masks, put at risk health essential workers, including those serving HIV/…

Success Stories

January 5, 2021
In a move towards self-reliance, in 2016, the Prime Minister of Vietnam issued a decree to use Social Health Insurance (SHI) funds for centralized procurement and reimbursement of antiretrovirals (ARVs) for 106,000 people living with HIV instead of from donor programs. For more than a decade, the…
December 16, 2020
The rapid spread of COVID-19 worldwide led to shortages of personal protective equipment (PPE) in health care facilities in many parts of the world – including Central America. The lack of PPE, especially appropriate facial masks, put at risk health essential workers, including those serving HIV/…
December 2, 2020
Professional Nurse Tauhlole Masemola works at Thusong Gateway Clinic, located outside Lichtenburg in South Africa’s North West province. Thusong Gateway Clinic, like many other public primary health care (PHC) facilities, is the first stop for treatment for many South Africans. The clinic provides…