Africa's Push for Vaccine Manufacturing Self-Sufficiency

This is the second story in a two-part special looking at the challenges around vaccine manufacturing and supply in Africa. 

Click here to read part one, which examines the factors contributing to a lack of independent vaccine manufacturing.

In part two, Supply Chain Digital takes a look at the key organisations seeking to boost vaccine manufacturing across the continent.

A vision for manufacturing independence

The African Union (AU) has set a bold strategic target for 2040: producing 60% of vaccine doses required across the continent through indigenous manufacturing capabilities.

This initiative represents a significant pivot in global healthcare supply chain dynamics, addressing longstanding vulnerabilities exposed during the COVID-19 pandemic.

The Africa Centres for Disease Control and Prevention (Africa CDC) has been instrumental in driving this transformation, collaborating with African Union Member States to create a comprehensive roadmap for vaccine manufacturing development.

Through the Partnerships for African Vaccine Manufacturing (PAVM) established in 2021, the organisation is systematically addressing infrastructure, technological and economic challenges that have historically prevented robust local vaccine production.

Together, Africa CDC and PAVM have created a Framework for Action (FFA), which is set to share critical findings on the existing vaccine manufacturing environment. 

The African Vaccine Manufacturing Accelerator

CDC has also forged a strategic partnership with Gavi, a global vaccine procurement powerhouse that has been a major vaccine purchaser since 2001.

Gavi has, over the years, demonstrated a profound commitment to African healthcare development, significantly expanding the continent's vaccine manufacturing landscape from five to nineteen manufacturers.

Driven by the AU's 2040 manufacturing target, Gavi developed a comprehensive ten-point strategic plan to transform vaccine production across Africa. This blueprint focuses on diversifying and securing vaccine supply chains through innovative approaches.

At the heart of this strategy lies the African Vaccine Manufacturing Accelerator (AMVA), a groundbreaking financial mechanism designed to catalyse a sustainable vaccine manufacturing ecosystem in Africa. This sophisticated instrument aims to simultaneously boost local manufacturing capabilities, strengthen healthcare infrastructure and position Africa as a credible participant in the global vaccine market.

The AMVA represents a substantial financial commitment to vaccine manufacturing, with US$1bn due to be made available, according to Gavi. It operates using a meticulously-designed four-step process that strategically invests in local manufacturing and drives broader economic development.

1. Vaccine manufacturers apply to supply Gavi-supported vaccines
2. Manufacturers secure regulatory approval from the World Health Organisation
3. Manufacturers enter the marketplace, supplying vaccines through UNICEF's procurement channels
4. Successful manufacturers become eligible for 'accelerator' payments upon vaccine delivery

Rewards are contingent upon meeting the WHO's rigorous quality standards, while manufacturers engaging with Gavi or other major vaccine purchasers will be eligible for additional performance bonuses.

Ultimately, Gavi's goal is to accelerate the production of vaccines targeting 11 diseases, with a specific target of enabling at least four African vaccine manufacturers to produce 800 million doses within the next decade.

Incentive payments offset production costs 

AVMA functions by offering two types of incentive payments to offset the initial high costs of production: milestone payments and accelerator payments.

Milestone payments are designed to incentivise manufacturing strategies that bolster pandemic preparedness.

The highest milestone payments, set at US$25m, will be awarded to manufacturers whose vaccines achieve prequalification using 'pandemic-ready' technology platforms, such as those enabling the production of viral vector or mRNA vaccines.

A lower milestone payment of US$10m is available to manufacturers that prequalify under 'fill and finish' production processes targeting vaccines in the priority market category. To qualify, all final stages of production must take place within African manufacturing facilities.

Accelerator payments, meanwhile, provide manufacturers with an additional per-dose bonus, supplementing the market price earned through Gavi-UNICEF tenders.

They amount to approximately US$0.50 per dose for vaccines produced using pandemic-ready tech platforms or for full-scale production of priority market vaccines.

Manufacturers engaged in cost-effective 'fill and finish' production can also qualify for smaller accelerator payments. 

The AVMA is structured to offer incentives over a ten-year period, with limits in place to prevent any single vaccine type or manufacturer from dominating.

Africa CDC and Gavi remain committed to fostering a diverse and robust vaccine manufacturing sector, supporting independent growth and development across the continent. 

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