A Malawian official has said that delays in making letter of credit (L/C) arrangements have contributed to the failure of a controversial emergency drug procurement tender.

The scheme has been personally supported by Malawi's president Joyce Banda, but has so far failed to alleviate the country's drugs shortage.

Short delivery

Six of the seven suppliers awarded tenders in the emergency drug procurement programme have failed to deliver the drugs they should by now have supplied to Malawi's Central Medical Stores Trust (CMST).

Documents seen by local media indicate that of the US$1.657 million of drugs ordered by CMST, goods worth just US$701,496 have been delivered.

According to CMST's public relations officer, Herbert Chandilanga, one reason for the short delivery is the failure on the part of suppliers to make proper L/C arrangements.

Supplier records

One local company, Sadm Pharmaceuticals, has delivered the drugs required under its contract, but four other local companies have only delivered part of the goods ordered from them.

No deliveries have been received from the only two foreign companies in the programme, Kenya's Dawa Limited and the UK's Premium Way International.

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