The Department of Health (DoH) reassured patients, stating that the recent High Court ruling regarding tenders will not lead to disruptions in the supply of antiretroviral (ARV) drugs.
This response followed the decision issued by the Pretoria High Court on October 20. The court granted the department 120 days to redistribute the awarded awards and cancelled part of the tender allocations amounting to 15.5 billion rand.
Two companies were contesting the tender: Cipla Medpro Manufacturing and Hetero Drugs. The court dismissed Hetero's application but ruled in favor of Cipla.
Hetero had asked the court to review and annul the DoH's decision to exclude it from awards for items 13 and 23. Cipla received three awards totaling 214 million rand, while Hetero received five awards totaling 678 million rand.
However, Cipla was challenging the awarding of items 13 and 23, which concerned monthly and three-monthly packs of three HIV treatment medications: dolutegravir, lamivudine, and tenofovir. Cipla argued that these items should not have been split into two different competitions because they included the same medications, only in different quantities.
Judge Graham Girdwood agreed with this view, ruling that the awards for both items were unconstitutional and therefore invalid. The court noted that Cipla is a long-standing ARV manufacturer that has demonstrated the ability to supply more than half of the estimated demand for item 13 and nearly half for item 23. Furthermore, Cipla manufactures these drugs at its own facility in KwaZulu-Natal.
Girdwood also disqualified two companies, Innovata and Viatris, from further consideration for any awards related to items 13 and 23 because they submitted bids with expired licenses. The judge also emphasized that these companies should not have progressed beyond the first stage.
Department of Health welcomes court decision
In a statement released on Thursday, the department expressed approval of the court's decision to dismiss Hetero's application, noting that it respects the court's role in ensuring public procurement operates within the legal framework. The DoH stated that it will continue to guarantee fairness, transparency, and legal compliance in procurement processes. The department also emphasized that procurements must ensure the best value for money, strengthen public trust, and protect the continuous availability of quality ARV drugs for patients dependent on the public health system.
Furthermore, the department added that this ruling will not jeopardize the distribution of ARVs, and patients will continue to receive their medication. The DoH reported that it is working with provincial departments, warehouses, and suppliers to ensure continuity of supply.