Last week, the World Health Organization warned of severe and mounting disruption to the global supply of personal protective equipment — the reason being rising demand, panic buying, hoarding and misuse. Such behaviour would put lives at risk, not just from the new coronavirus (Covid-19) but other infectious diseases as well, the WHO cautioned.
And panic buying was reported from various countries, as masks, sanitisers, etc, were wiped clean off-market shelves. A similar trend was seen closer home as well. However, stockouts in India of masks or gloves, for example, cannot be entirely blamed on anxious buying by citizens. As it turns out, the unethical price increase and profiteering has also to do with inconsistent procurement policies.
Conversations with several licensed producers of personal protective equipment (PPE) reveals that shortages and an absence of immediate capacity to supply quality products stems from a lack of clarity on procurement by Central and State governments and their obsession with “L1”, or the lowest price on offer.
Take the experience of Smita Shah, Managing Director of Mediklin Healthcare, a company that makes protective gear for many years now. All components that go into a PPE kit, from raw material to make the coveralls, shoe-covers, masks, googles, etc, are made locally, she says.
This story is from the March 14, 2020 edition of The Hindu Business Line.
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This story is from the March 14, 2020 edition of The Hindu Business Line.
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