Largest COVID vaccine maker calls for funding from Indian government for export restrictions

the Serum Institute of India (SII), the world’s largest COVID-19 vaccine maker, has indicated it will need financial assistance from the Indian government due to export restrictions, which have complicated budgets due to lower profits from local purchases.

The The poorest countries in the world, as well as some rich countries, have relied heavily on this institute for the supply of AstraZeneca vaccine, but last month the government halted the authorization to export the vaccines. prioritize the local population of 1,300 million in the face of a new wave of infections.

The pressure has put SII’s production capacity “under strain, to put it bluntly,” company CEO Adar Poonawalla told NDTV on Tuesday. “The world needs this vaccine and right now we are prioritizing India’s needs and still cannot deliver …“He added.

“The world needs this vaccine and right now we are prioritizing the needs of India.”

The company now requires additional funding of Rs 30 billion (US $ 408 million) to increase its capacity and asked the government for financial help, according to the CEO.

“It was never initially budgeted or planned, because we were supposed to export and get financing from countries, but now that doesn’t happen, we need to find other innovative ways to increase our capacity, ”said Poonawalla.

IBS, what produces over two million daily doses of Covishield – the local name of AstraZeneca’s vaccine – supplies the vaccine at a subsidized price in India far below what it charges for exports.

The company has already received a formal notice from AstraZeneca for the delays, which the leaders want to resolve amicably, explaining the local situation.

Export ban to the United States

The US ban on exporting vaccine raw materials has added to the challenges, particularly affecting the IBS production of the Covid vaccine, developed by the US company Novavax.

“From this month, Novavax reserves will be half of what we could earn without US restrictions“He said.” It’s as well as banning vaccines. “

IBS – which recorded annual revenues of over $ 800 million in 2019-2020 – has seen its profile skyrocket since the pandemic, with several countries including Britain, Brazil and South Africa claiming more buy his vaccine.

The company also struck a deal to provide 200 million doses to Covax, an effort supported by the World Health Organization to purchase and distribute vaccines to poor countries.

Half of the 680 million doses administered worldwide were in “high income” countries as defined by the World Bank (16% of the planet’s population), such as the United States, the United Kingdom. United and Israel, while “low income” countries (9% of humanity) received only 0.1% of doses.

(With information from AFP)

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