The Congress of South African Trade Unions (COSATU) is encouraged by progressive talks between the Department of Health and the pharmaceutical manufacturing industry on interventions to boost local procurement.  Whilst further details including specific timeframes and various interventions by government and industry still need to be fleshed out, this is a welcome step forward.

A close partnership between government, business and labour is critical to ensuring that we direct public and private procurement to nurturing local industries, value chains and most importantly jobs.  With a devastatingly high 43.8% unemployment rate, we must mobilise every possible resource to saving and creating local jobs.

South Africa is fortunate to have a substantial local pharmaceutical manufacturing industry.  It is critical that public and private healthcare procurement be geared towards supporting it.  Similarly, interventions are needed to enable it to ramp up capacity to tap into the needs of the Southern African region and the continent at large.

This partnership between the African National Congress led government, business and labour will lay a positive foundation for the development and implementation of the Health Master Plan.  COSATU looks forward to the Department’s development of the localisation roadmap in collaboration with the Department of Trade, Industry and Competition as well as business and labour. 

If managed strategically these interventions cannot only save but also create thousands of local jobs and businesses as well as ensure the security of medical supplies, from clothing to equipment to medicines, for public and private healthcare facilities.  This will be a crucial foundation to ensure the success of the National Health Insurance’s rollout.

Issued by COSATU

Matthew Parks (COSATU Parliamentary Coordinator)

Mobile: 082 785 0687

Email: matthew@cosatu.org.za