Shortages hit as China rolls out new vaccine distribution rules

An article by FiercePharma
July 25, 2016

Shortages of vaccines at clinics in China have predictably followed a move to eliminate middlemen from the sales chain over good distribution practice concerns, the Financial Times reports.

Earlier this year, the China FDA notified directives on centralized purchases and enforcement of a ban on wholesalers in direct vaccine sales to clinics at the provincial level. The directives come in response to a March scandal that uncovered the fact that, over several years, $88 million of vaccines were sold throughout China without adhering to storage and transport protocols.

However, clinics and companies were apparently caught flat-footed in some cases on supplies, the Financial Times said, adding parents are now visiting several clinics in hopes of finding jabs for their children.

In May, U.S.-listed Sinovac Biotech ($SVA) said first-quarter earnings were hit by the new rules. Other companies are having a hard time to adjust, though the China FDA said it expects the situation will be only temporary.


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