Puerto Rico Crisis Impact on Healthcare
Essay by santosh kumar • December 12, 2017 • Creative Writing • 778 Words (4 Pages) • 959 Views
Puerto Rico Crisis- Impact on Healthcare Supplies
Introduction
The Atlantic hurricane season has been an unexpected one as the region witnessed successive hurricanes with some of them classified as Category 4 storm. Puerto Rico was ravaged by a category 4 hurricane named Maria. The impact of this storm has been severe as majority of the critical infrastructure such as power and water supplies have been critically damaged.
Puerto Rico- The Pharma and Medical Devices Manufacturing Hub
Puerto Rico is host to many manufacturing facilities and it is estimated that there are 80+ pharma facilities and 50+ medical devices plants in Puerto Rico. Some of these facilities produce critical drugs used in treatment of cancer, diabetes and heart diseases and the medical devices which range from surgical instruments to pacemakers. Approximately 80% of the drugs manufactured in Puerto Rico, valued at $40 billion are exported to the US market.
The Supply Concern
The plants across Puerto Rico are running at minimum production levels, (50% and less). This has direct impact on drug and medical supplies in the US market as these supplies fulfill between 10%- 25% of the US market demand. Below are some major issues of concern for supplies from Puerto Rico:-
Life Saving Drugs
The FDA has focused on the supply of 30 drugs that are critical and are either manufactured solely (14 drugs) or primarily in Puerto Rico. The island manufactures drugs for treatment of cancer, rheumatoid arthritis and HIV. Some notable drugs are bestsellers like Humira, Xarelto and relatively scarce drugs like methotrexate.
Medical Supplies to Hospitals
US hospitals are facing shortages of supplies like Mini-Bag (used to dilute drugs), IV Solutions, morphine, and products like mesh for repairing hernia, surgical scalpels among many.
Challenges
Procurement
Manufacturers currently are relying on generators to bring facilities back to life and store drugs in refrigerated environment. Procurement of diesel has been the biggest challenge for manufacturers. Apart from this current situation in Puerto Rico is a logistics nightmare to managers as supply chain mechanisms are in complete disarray due to failure of communication channels and on ground infrastructure damage.
Operational
In case of complete plant shutdown, re-starting will take months as the plant needs to be re-inspected. Continuous equipment’s like HVAC and refrigeration areas are critical for companies. Electrical power is currently supported by backup generators that were not designed to operate for such extensive periods and plants face frequent breakdowns.
Status of Major Manufacturers
Medtronic | They have assessed that Maria can cost them around $55 to $65 million. Their plants have started running on limited capacity. |
Stryker | Manufacturer of orthopedic surgery products has reduced supplies of some products to hospitals. |
Johnson & Johnson | Post Maria, J&J indicated that the supply of a product used in cataract surgery might be affected. It also manufactures Tylenol and the H.I.V. drug Prezista in Puerto Rico. |
Baxter | One of the products that has troubled the US hospitals is Mini-Bag Solution which is used to dilute drug. Products like empty bags and plastic tubing are also in scarcity. The company is fulfilling these supply gaps via its factories in Ireland and Australia and has stated that the Puerto Rico facility is slowly resuming operations. Another product metronidazole, which was already under FDA’S Drug shortage list, is also sourced from alternate facilities. It is also rationing the supplies of the products |
Bristol-Myers Squibb | The company stated that they have resumed limited operations to ship warehoused products and they do not expect impact on product supplies. |
Amgen | They also stated that manufacturing was expected to resume in next several weeks and they do not anticipate impact of supply on patients. |
AstraZeneca | Cholesterol treatment drug Crestor is produced. Company has stated the supplies will not be affected. |
Abbvie | Company claims that the supply of Arthritis drug Humira will not be affected. |
Pfizer | Pfizer states that they do not see risk to patient supply due to the hurricane. |
Eli Lilly | Company states that their facilities suffered minimum damages and they do not expect supply shortages of drugs to patients. |
Merck | They stated that impact assessment was in progress for their facilities. |
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