Perth-based Baxter Healthcare and PureIV have won a $290 million state government contract, in a move set to streamline the distribution of medical equipment to public hospitals.
The ‘whole of health’ contract has been awarded by the state government’s Health Support Services (HSS)
HSS chief procurement officer Mark Thompson hopes the contract will save the WA health system up to $35 million over the next 10 years.
The contract will ratify the manufacture of specially prepared chemotherapy drugs, antibiotics and intravenous feeding solutions used to treat patients with cancers, rheumatoid arthritis and multiple sclerosis.
It is hoped the agreement will replace the various separate agreements between pharmaceutical companies and individual hospitals in a bid to keep supplies of medication and equipment consistent across the state.
Awarded company Baxter Healthcare produces more than 200,000 units of critical medical products at its Canning Vale facility.
Many of which need to be dispatched to patients within hours of production across WA.
Shenton Park-based PureIV combines a manufacturing facility with a pharmacy structure to enable dispensing and supply to patients directly.
HSS Chief Procurement Officer Mark Thompson said the new contract delivers better value for the WA health system.
“A single consolidated contract gives us greater oversight of these products while ensuring continuity of supply for our public hospitals,” Mr Thompson said.
“It also supports local manufacturing and jobs as these medicines will be produced in facilities located in the Perth metropolitan area.”
HSS managed 175 contracts worth $2.9 billion on behalf of the WA health system.
