Type: Technical Report
Improving health resilience through better procurement of medical supplies : lessons from the COVID-19 Pandemic
Technical Report, STG Resilience Papers, 2021, [ECO]
HANSPACH, Philip, Improving health resilience through better procurement of medical supplies : lessons from the COVID-19 Pandemic, STG Resilience Papers, 2021, [ECO] - https://hdl.handle.net/1814/71677
Retrieved from Cadmus, EUI Research Repository
• Bias for procuring domestically (“home bias”) stands in the way of an integrated Single Market in procurement and is associated with malpractice that negatively affected the procurement of medical supplies in 2020. • The first infection wave in early 2020 coincided with an unprecedented surge in cross-border procurement. Most of these were direct awards to firms, not competitive tenders, indicating that home bias is not driven by ignorance of buyers about foreign firms. • Buyer discretion enables misallocation towards domestic buyers. Policy makers should limit buyer discretion to promote cross-border procurement for medical supplies. This allows the best firms to win contracts internationally, improving health resilience through a stronger industrial base. • Nonetheless, deregulation and increasing buyer discretion may have been optimal in the emergency as the net effect of the pandemic and deregulation was towards more cross-border procurement, at least temporarily.
The STG Resilience Paper is part of the Commission Research Report and Interim Progress Report (June 2021) published by Reform for Resilience.
Cadmus permanent link: https://hdl.handle.net/1814/71677
External link: https://www.r4rx.org/research-submissions
Series/Number: STG Resilience Papers; 2021; [ECO]
Publisher: European University Institute; Recovery Reform Resilience
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