The African Pooled Procurement Mechanism has concluded its testing period and launched as a standing continental program, according to AllAfrica. Eight African Union nations have formally joined the effort by signing a memorandum of understanding. This development was announced at the close of the third consultative workshop in Addis Ababa, signaling a transition from political pledges to practical execution. The Africa Centres for Disease Control and Prevention leads the effort, which was established by an African Union Assembly decision in February 2024 to strengthen collective purchasing of essential health products across the continent.
The initiative seeks to aggregate demand to lower costs and secure supply chains. AllAfrica reported that 15 additional countries have indicated they wish to participate, with the Africa CDC aiming for all 55 member states to join. The program supports the African Union's goal of manufacturing 60% of its health products locally by 2040. To date, 89 manufacturers from 15 African countries have registered with the mechanism, showing increased confidence in accessing the continental market through transparent tendering processes.
Dr Mariatou Tala Jallow, the mechanism’s director at Africa CDC, emphasized that the system is meant to work alongside national and regional procurement structures rather than replace them. She stated, "It is our initiative." This sentiment highlights the goal of creating stable markets for local producers. The next phase involves creating framework agreements that define product specifications, volumes, and pricing. These contracts will offer manufacturers a clearer route to supplying the continent, helping to transform potential output into reliable supply.
The memorandum of understanding creates a flexible structure that respects the varied regulatory and payment systems of individual member states. National regulators will continue to approve and oversee products in their own markets. The mechanism will collaborate with these national bodies and the African Medicines Agency to enhance quality assurance and regulatory alignment. Dr Jallow noted that financial transparency and reliable payment systems are essential for the program’s long-term credibility and success among member states, manufacturers, and partners.