Market Deal Brings Life-Saving Vaccine to Poor Countries
Source: PBS Newshour
For the organizations that have pulled this off, the beauty of it is engineering widespread health benefit while still making the numbers add up for manufacturers. Dr. Seth Berkley, CEO of the GAVI Alliance, explained it this way, "In the past, a new vaccine would appear in the West. It would be quite expensive. There would be no purchasing of that vaccine in the developing world. Even if there was, because of the fact that there wasn't an intermediary, the price wouldn't necessarily be at a level that they could get to.
"So GAVI comes and says, 'What we'd like to do now is supply a large number of countries and we'll provide a market. We'll be able to tell you how many doses we need.' That is important for vaccine production because it takes a number of years to build up the production capabilities for it. By giving this Advance Market Commitment, the donors made it quite attractive to the companies to enter this space. All of that together really encouraged those companies, and the longer term goal is to try to create a market that's healthy."