The East African Community (EAC) Partner States have officially launched the implementation of a new procurement mechanism that will enable the region to collectively purchase medicines and vaccines in large quantities as a bloc rather than individually.
The EAC Pooled Bulk Procurement Mechanism (EAC PPM) rollout, launched on Monday, March 24, 2025, in Kigali, aims to aggregate the procurement demand for therapeutics, with an estimated cost of $3.56 billion.
The launch event was officiated by Hon. Andrea Aguer Ariik Malueth, Deputy Secretary General for Infrastructure, Productive, Social, and Political Sectors at the EAC; Hon. Fatuma Ndangiza, a Member of the East African Legislative Assembly (EALA); and Dr. Stephen Karengera, Director of the University of Rwanda’s EAC Regional Centre of Excellence for Vaccines, Immunization, and Health Supply Chain Management (EAC RCE-VIHSCM).
Hon. Andrea Aguer Ariik Malueth, Deputy Secretary General for Infrastructure, Productive, Social, and Political Sectors at the EAC
DSG Malueth emphasized that bulk procurement as a bloc will ensure the region benefits from economies of scale, enabling the purchase of high-quality medicines and medical supplies while ensuring timely delivery.
“This aligns with our vision of a healthier and more prosperous East African Community,” Malueth said. “This initiative will help the public sector secure essential medicines on time to address pressing challenges in the healthcare sector.”
He added that purchasing medicines in bulk will significantly enhance the region’s bargaining power.
Dr. Stephen Karengera, Director of EAC RCE-VIHSCM
Dr. Karengera, who played a key role in bringing the mechanism to fruition, described it as a powerful tool for shaping the pharmaceutical and vaccine manufacturing market.
“The most significant benefit is the ability of the EAC to shape its own pharmaceutical market by guaranteeing demand,” Karengera said. “This serves as a strong incentive for local manufacturing.”
Hon. Amb. Ndangiza urged the EAC to move swiftly from the rollout phase to full implementation while also emphasizing the need to educate the private sector on the process and its benefits.
“As EALA, we are concerned about delays in implementation. It is not enough to agree on a mechanism and then spend another 20 years putting it into action,” Ndangiza said. “We call on all Partner States to implement it without delay and to plan for increased health budgets instead of relying on donors.”
With the EAC budget expected to be passed in June, Hon. Ndangiza stated that the legislature will push for bills that facilitate the full implementation of the mechanism. Additionally, EALA will conduct oversight, awareness, and advocacy at the regional level.
Hon. Amb. Fatuma Ndangiza (EALA MP)
Three-Phase Implementation
The mechanism will be implemented in three phases:
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Phase 1: Information sharing (currently underway).
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Phase 2: Joint market intelligence (upcoming).
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Phase 3: Joint bulk tendering as a bloc.
EAC Pooled Bulk Procurement Mechanism (EAC PPM) rollout
The final phase is expected to be rolled out by October 2025 during the 26th EAC Sectoral Council of Ministers of Health.
Initially, the mechanism will focus on 50 high-demand tracer items, including 26 hard-to-procure molecules, HIV/AIDS treatments, and products for reproductive, maternal, newborn, child, and adolescent health.
This initiative is particularly significant given the uncertainty surrounding the supply of these commodities due to U.S. Executive Orders affecting USAID funding.
According to Dr. Karengera, the mechanism comes at a critical time for the region to adapt to evolving donor funding patterns and enhance self-sufficiency in medical supplies.
RMS Deputy CEO, Diane Mutoni (middle) represented Rwanda at the regional meeting
In the meantime, Rwanda Medical Supply (RMS), Deputy CEO, Diane Mutoni said that the new mechanism will improve Rwanda ability to purchase more medications that have been missing in stock as a result of bargaining as a single country, delayed delivery from suppliers and having to go through an extensive tendering process.
