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Pharmaceuticals Supply Service Axes Three Laws With New Inventory Rules

The Reporter · 3 hours ago · Read the Full Story on The Reporter
Pharmaceuticals Supply Service Axes Three Laws With New Inventory Rules
AI SUMMARY

The Ethiopian Pharmaceuticals Supply Service has replaced three outdated directives with a single comprehensive framework to align supply chain management with its digital systems and modern operating standards.

  • The Ethiopian Pharmaceuticals Supply Service (EPSS) issued Directive No. 1149/2026 under Proclamation No. 1354/2017.
  • The new directive repeals Directive No. 352/2021, Directive No. 355/2021, and Directive No. 384/2021.
  • The overhaul addresses historical structural challenges including warehouse capacity constraints, inventory tracking gaps, and distribution delays highlighted in a 2025 BMC Health Services Research study.
  • The unified framework aims to eliminate inefficiencies, reduce costs, foster inter-institutional coordination, expand digitalization, and strengthen accountability.
  • Health facilities are mandated to prepare annual, budget-backed pharmaceutical requirements and submit them through EPSS branches.
  • The directive provides regulatory backing to maximize the coordinated use of EPSS's SAP enterprise resource planning system launched two years ago after an investment exceeding nine million birr.
  • The framework codifies multi-vendor procurement and committed or framework agreements as primary supply channels, with quarterly reviews of supply and demand.
  • Strict operational requirements are established for warehousing, including designated storage areas, material-handling equipment, backup power, continuous environmental monitoring, and cold-chain oversight.
  • Special handling protocols are defined for narcotic and psychotropic medicines, as well as flammable chemicals.
  • Inventory control measures mandate cyclical, annual, and ad-hoc stock counts alongside standardized procedures for damaged or expired goods.
Read the Full Story on The Reporter
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