HIGHLIGHTS
- Shortages of medical products in OECD countries – including essential medicines and medical devices – were common prior to COVID-19. The pandemic put immense strain on already stretched supply chains, as a result of both unprecedented demand and widespread bottlenecks in supply.
- It has become clear that urgent action is needed to strengthen supply chains – both routinely and in anticipation of the next health crisis. In the context of global supply chains, policy action is challenging and should be complemented by international co-operation and co-ordination, as well as collaboration with the private sector.
- Better anticipation of risks is a key priority and depends on improvements in regulatory authorities’ visibility of manufacturing and distribution supply chains. This not only requires regulatory changes to impose information sharing but also significative investments in data infrastructure and analytics.
- The reduction of shortage risks should also be a key priority, and this rests on a better identification of the root causes to better address them. Public policies should focus on more strategic procurement to contribute to market shaping that is more conducive to reliable supply chains. Public policies could also support the expansion and diversification of supply of medical products for products assessed as “critical” for countries. Further trade facilitations and regulatory harmonisation would ease the movements of goods across countries.
- Beyond all these strategies, countries also need additional capabilities to prepare for severe crises and ensure mechanisms are in place to facilitate worldwide access to needed existing and newly developed medical products. Governments have a central role in organising emergency supply chains and developing these capabilities in advance. Here, international co-operation and close collaboration between the private sector and governments are important to ensure a cohesive, collective, and efficient response.
EXECUTIVE SUMMARIES
POLICIES MUST STRENGTHEN SUPPLY CHAINS NOW AND IN ANTICIPATION OF FUTURE CRISES
FURTHER READING
CONTACT US
Follow us on Twitter via @OECD_Social