RIYADH, 3 April 2008 — The Kingdom enjoys 85 percent of pharmaceuticals imported into the GCC market, said Health Minister Dr. Hamad Al-Manie, speaking at the first meeting of the United Company for Purchasing Medicines and Medical Equipment (UCPMME) yesterday.
Dr. Al-Manie added that 21 percent of medicines and medical equipment needed by the Kingdom are locally manufactured. He added that the company was formed following a directive from the Council of Ministers in 2006.
“Subsequently, a feasibility study was done on this project and a set of guidelines and procedures have been enumerated for the proper functioning of UCPMME,” he said.
“The company should not only deal with purchasing medicines and medical equipment from different countries, but it also has a responsibility to distribute them properly and on time,” said Al-Manie.
He said that logistics should be planned properly for distribution according to needs and warned that there have been instances in the past where medicines have expired in warehouses due to a lack of transport facilities to ferry them to their respective destinations.
“Goods should not only be kept in conducive storage facilities. There must also be a data bank giving the health authorities necessary statistics of the supply and demand of medicines needed in the Kingdom,” he added.
The minister said that the whole idea of establishing UCPMME was to develop a unified policy in the purchase and distribution. Such a company could help the government supply needed items at reasonable prices.
He further solicited the support of members of the private sector for the successful running of the organization.
The minister also said that he hopes to make UCPMME a public company in the near future. He added that UCPMME is solely funded by the government and that its capital will soon be increased through an initial public offering.
Saudi Arabia is one of the largest markets for medicines in the Middle East. About 10 Saudi companies have captured 50 percent of the market which is estimated to be worth more than SR5 billion.
