Next for PPPFA preferential procurement are pharmaceuticals

The application of the Preferential Procurement Policy Framework Act (PPPFA)  has resulted in a further move by trade and industry minister Dr Rob Davies regarding the state’s procurement of local products – in this case pharmaceuticals, stipulating that the list of goods (yet to be produced) which are relevant to purchases by govt. departments, agencies and state-owned enterprises.

Davies stated that this move would be of specific benefit to the country both in terms of health and the economy and his list of some seventy products would be made available by the department of trade and industry (DTI) shortly.

The PPPFA was amended last year by the DTI and approved by Parliament to allow for such moves and to stipulate certain sectors of industry and commerce to be controlled in such a manner. Regulations starting with canned vegetable products, commuter buses, clothing textiles and footwear are already in place.

The minister stated that it was important for the state, working with the pharmaceutical industry, to contribute to South Africa’s balance of trade and at the same time make a serious attempt to ensure affordable healthcare to both the private and public sector.

Prices would be “internationally bench marked” he said and government would still source certain supplies from importers where this was necessary.

The list of products that were to apply to the gazetted regulations was compiled only after extensive investigation, he noted.

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