Serum Institute and Bharath biotech are manufacturing Covid vaccine in India. Both are private companies and sell their vaccines to customers. Customers include govt of India, any state govt. Govt of India invested crores of rupees in vaccine companies while they were developing the vaccine and entered an agreement to procure certain quantity of vaccine at predetermined price(150 rs). After that quantity, Govt of India will also pay full price.
Both companies are to sell/allocate HALF of their manufacturing capacity to GOI and they can sell the other half to any customer(including state govts). GOI is allocating its quota of vaccines free of cost to every state. GOI is allocating procured vaccine to Army, Paramilitary, front line workers etc. GOI is allocating the rest of the vaccines to states. All above from GOI is for free to the states.
GOI allocation will be done on the basis of the performance of the state – the seven-day rolling average of the percentage consumption of vaccines by a state. The second parameter – the extent of infections in a state, that is the number of active cases
The third parameter is wastage. The less wastage the state does, the more the allocation of the vaccine. Fourth is high burden districts. Based on above criteria, GOI half is given to states(For free).
State governments are free to procure vaccines from Serum Institute or Bharath Biotech or any other foreign vaccine producer(like Sputnik from Russia). State govts have complete freedom to procure vaccine at their own price and terms. State govts writing letters to GOI without fulfilling the criteria is just hogwash. It’s just a political stunt.
How can GOI allocate more vaccines to one state against its own policy? Even if it does so, other states will not tolerate that. State govts can
- Procure from Indian manufacturers
- Float global tenders & procure from foreign manufacturers.
- Both options are open for them.
While states are administering central govt provided free vaccines, they completely are silent on procurement of the other half of capacity and foreign procurement. They must float contracts and get into agreements.
GOI invested in vaccines, giving the quota to the states for free apart from forces and other central agencies. States neither invested in vaccine/oxygen plants/medicines and are passing valuable time with just mud-slinging. Everyone should start asking state govts about the contracts they entered with vaccine manufacturers(domestic/foreign) and publish a daily white paper on procurement efforts. If not, its your life in danger.