Evolution of Pharmaceutical Procurement Practices

This document is a technical report that outlines the evolution of pharmaceutical procurement, particularly focusing on tendering practices. It details the historical context of tendering in healthcare procurement since the 1980s, highlighting endorsements by organizations such as the WHO and the World Bank. The report discusses the European Union's adoption of public procurement directives in 2014 and the 2022 European Commission study on best practices in public procurement of medicines. The report explains the varying characteristics of tendering processes across different geographies and emphasizes the importance of flexibility in these processes. It also addresses the impact of generic and biosimilar alternatives on pricing and patient access to treatments. Furthermore, it examines the challenges posed by traditional tendering practices and recent efforts to enhance sustainability in procurement, including the incorporation of criteria beyond price. The report concludes with insights from a survey involving stakeholders in the healthcare sector regarding the effectiveness of current procurement practices.