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You are here: News Journos » Europe News » Commission Advocates ‘Buy European’ Initiative in New Critical Medicines Legislation
Commission Advocates 'Buy European' Initiative in New Critical Medicines Legislation

Commission Advocates ‘Buy European’ Initiative in New Critical Medicines Legislation

News EditorBy News EditorMarch 11, 2025 Europe News 7 Mins Read

The European Commission has unveiled a significant proposal through its Critical Medicines Act, targeting the security and availability of essential medicines across the EU. This legislation, introduced by Health Commissioner Olivér Várhelyi, emphasizes the importance of local suppliers and aims to address the ongoing issues related to medicine shortages that have been exacerbated by the COVID-19 pandemic. Despite some controversy surrounding its expedited timeline and limited stakeholder engagement, the proposal seeks to bolster the EU’s capability to produce critical medicines and boost public health protection.

Article Subheadings
1) Overview of the Critical Medicines Act
2) Addressing Medicine Shortages
3) The ‘Buy European’ Initiative
4) Proposal for Joint Procurement Mechanism
5) Reactions and Concerns from MEPs and Experts

Overview of the Critical Medicines Act

The Critical Medicines Act, as proposed by the European Commission, aims to create a robust legislative framework ensuring a steady supply of essential medicines across Europe. Announced on a crucial health policy timeline, the proposal emphasizes the need for Europe-based suppliers to be prioritized in public procurement processes, thereby enhancing the continent’s self-sufficiency in critical pharmaceuticals. The Act’s introduction aims to provide a systematic and coordinated approach to addressing public health crises by safeguarding and stabilizing medicine supply chains.

Central to the proposal is a strategic framework that recognizes the urgency of addressing the vulnerabilities exposed during the COVID-19 pandemic. This foundational shift indicates a proactive rather than reactive stance on public health security. The introduction of the Act was motivated by the disparity between the demand for essential medicines and the fragility of the supply chains that often depend upon external nations and market fluctuations. The Commission’s agenda is to secure access to critical medicines for EU citizens, thereby aligning health objectives with market stability.

Addressing Medicine Shortages

At the heart of the Critical Medicines Act is the pressing issue of medicine shortages prevalent in many EU member states. Essential drugs, including antibiotics and insulin, have shown alarming gaps in supply, primarily due to a reliance on a limited number of manufacturers and specific countries. Reports from various health authorities indicate that the situation could worsen without decisive action, as supply disruptions can impact not just individual patients but entire healthcare systems.

Officials from the European Commission have acknowledged that the EU heavily relies on foreign suppliers for active pharmaceutical ingredients (APIs), which poses risks when disruptions occur, such as during geopolitical tensions. This reality became painfully evident during the pandemic, suggesting that it’s crucial to fortify internal capacities to avert potential crises in the future.

While pharmaceutical companies hold the obligation to manage adequate supply levels, the enforcement and distribution logistics fall to the respective member states. Currently, national authorities are tasked with addressing shortages, often leading to inconsistencies and gaps in availability among different countries. This situation highlights the need for a collective action plan that transcends national borders and integrates EU-wide solutions.

The ‘Buy European’ Initiative

The ‘Buy European’ initiative embedded in the new proposal aims to enhance investment in domestic manufacturing of essential medicines and their components. This initiative seeks to simultaneously reduce external dependencies and foster a resilient supply of crucial pharmaceuticals. As part of this measure, public procurement criteria will now prioritize the security of supply over mere pricing, paving the way for a more sustainable approach to pharmaceutical acquisition.

Moreover, contracting authorities within the EU are expected to favor suppliers that manufacture a significant portion of critical medicines domestically, thereby curbing reliance on single third countries for essential supplies. An EU official elucidated this initiative stating, “This is about increasing EU production capacity and diversifying supply chains to make them more resilient, while also leveraging demand.”

With these provisions in place, stakeholders hope to establish a more equitable and secure pharmaceutical environment in Europe. By emphasizing local production, the EU seeks to not only improve supply chain integrity but to stimulate localized economies fostering job creation and innovation in the pharmaceutical sector.

Proposal for Joint Procurement Mechanism

Another innovative aspect introduced by the Critical Medicines Act is the coordination of procurement processes for medicines of common interest. This includes essential medicines that are in short supply across at least three EU member states, such as those used for treating rare diseases or conditions with limited therapeutic options. This prospective approach indicates a shift towards a more collaborative EU framework aimed at addressing disparities in access and availability.

The Commission has proposed creating a unified procurement structure that allows member states to work cohesively in acquiring these medicines, thereby preventing inequalities and mitigating supply shortages. This initiative marks an attempt to operationalize joint procurement at the EU level, leveraging collaborative tools to secure essential medicines for all member states. It is expected that this will lead to more balanced procurement from laboratories and create a fair distribution model for critical medicines.

To complement these collaborative efforts, the proposal also introduces the concept of strategic projects focused on enhancing the EU’s production capacity for critical medicines, supported by incentives such as expedited permitting and scientific assistance, signaling a mission-oriented approach towards pharmaceutical resilience.

Reactions and Concerns from MEPs and Experts

The announcement of the Critical Medicines Act has drawn varied responses from Members of the European Parliament (MEPs) and other stakeholders. Some express optimism regarding the proposal’s potential to improve access to essential medicines, while others advocate for a more ambitious approach. Tilly Metz, a Luxembourgish Green MEP, has called for bolder initiatives to increase local production, stressing that mere acceleration of existing processes is insufficient to ensure secure medicine availability.

Conversely, Vlad Voiculescu, a Romanian liberal MEP, has lauded the proposal as a vital step in achieving better affordability and access to medicines. He emphasized that this initiative must be supported by appropriate funding and timely national legislation to fully realize its goals.

One of the significant concerns centers around funding. Critics argue that the indicative budget of €83 million for the 2026-2027 period through the EU4Health program may fall short of adequately supporting the comprehensive objectives outlined in the Act. Prior to the announcement, 11 EU health ministers advocated for a broadened scope regarding the financing of critical medicines, with an emphasis that the protection of medicine security aligns with other aspects of EU security and defense.

Public health professionals and policymakers alike recognize that ensuring a stable and secure supply of medicines is tantamount to maintaining public safety within the EU’s borders.

No. Key Points
1 The European Commission proposed the Critical Medicines Act to improve supply security for essential medicines.
2 The new ‘Buy European’ mechanism prioritizes local manufacturing in public procurement to ensure steady supply.
3 The proposal addresses critical medicine shortages, particularly for essential drugs such as antibiotics and insulin.
4 A intertwined procurement mechanism is proposed to combat inequalities in medicine availability among member states.
5 Reactions to the proposal reveal both support and skepticism concerning its sufficiency and ability to secure future medicine supplies.

Summary

The Critical Medicines Act introduced by the European Commission represents a significant policy step towards securing the availability and sustainability of essential medicines in the EU. By prioritizing European suppliers and enhancing collaboration among member states through innovative procurement strategies, the Act aims to address existing vulnerabilities in the pharmaceutical supply chain exposed by recent global health crises. While the proposal has garnered both support and criticism, its successful implementation will depend on adequate funding, legislative backing, and continued commitment from all EU stakeholders to safeguard public health across the continent.

Frequently Asked Questions

Question: What are the main objectives of the Critical Medicines Act?

The main objectives of the Critical Medicines Act are to secure a stable supply of essential medicines within the EU, prioritize local manufacturers in public procurement processes, and effectively address the ongoing shortages of critical drugs.

Question: How does the ‘Buy European’ principle function?

The ‘Buy European’ principle aims to favor EU-based suppliers in public procurement, allowing for prioritization of security of supply over the cost of medicines, thereby fostering local production and resilience in supply chains.

Question: What has been the response from EU lawmakers regarding the proposal?

Responses have been mixed; while some lawmakers express optimism about the potential benefits of the Act, others urge stronger measures and adequate funding to ensure its effectiveness in addressing medicine shortages across the EU.

Advocates Brexit buy Commission Continental Affairs critical Cultural Developments Economic Integration Energy Crisis Environmental Policies EU Policies European European Leaders European Markets European Politics European Union Eurozone Economy Infrastructure Projects Initiative International Relations Legislation Medicines Migration Issues Regional Cooperation Regional Security Social Reforms Technology in Europe Trade Agreements
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