Mexico Advances Drug Procurement to Avoid Supply Gaps

Mexico’s Health Ministry said the supply of medicines is secured for next year and that planning for the 2027-2028 consolidated procurement is already underway, aiming to prevent disruptions through earlier awards and deliveries, explained Eduardo Clark, Deputy Minister for Integration and Development.

Clark said to El Universal, that authorities expect to announce the first awards for the 2027-2028 procurement in May or early June 2026, with deliveries beginning in January 2027. The schedule, he said, is designed to provide suppliers with greater certainty and avoid gaps in supply across public health institutions.

The approach builds on changes introduced in the 2025-2026 consolidated purchase, which Clark described as different from prior processes because it was based on a centralized calculation of demand. Previous administrations, he said, relied on fragmented requests from states that often resulted in mismatches between purchases and actual needs. Without accurate demand planning, even successful tenders can lead to shortages, he said.

Under the current administration, the consolidated purchase for 2025-2026 resulted in nearly 3,000 awarded items out of more than 4,500 tendered, a success rate Clark said is standard for complex, multi-stage pharmaceutical procurements. After adjustments and a complementary process, the government awarded and purchased around 4.3 billion units across more than 3,100 types of medicines and health supplies by mid-2025.

As distribution increased through the so-called “Health Routes,” authorities identified faster-than-expected consumption at clinics and hospitals, particularly within the IMSS-Bienestar system. Monthly deliveries rose from about 16 million units at the start of the year to more than 30 million units, prompting a preventive complementary tender to secure an additional 4% to 5% in volume to cover needs through the end of 2026.

In the recent complementary purchase, 1,026 items were not initially acquired due to pricing issues or missing documentation. Clark said about 800 of those items are expected to be awarded in December or by January 2026 following price negotiations and the correction of minor technical deficiencies. Another 140 items, representing about 1% of total volume, received no bids. Health authorities are working with institutions to assess therapeutic substitutes or engage historical suppliers to cover those needs.

Clark said that 96% of hospital and clinic requirements are already under contract, independent of the complementary process. He added that open contracts and ongoing deliveries mean the system remains supplied while adjustments are finalized.

The minister also confirmed that around 10 pharmaceutical companies are under investigation by the Ministry of Anticorruption and Good Governance for failing to meet delivery commitments. He declined to provide details, citing due process, and noted that investigations do not automatically lead to disqualification. Clark also criticized what he described as a pattern of irresponsible commercial practices in the pharmaceutical industry, arguing that some companies secure contracts without having the operational capacity to fulfill them.

Industry representatives, however, reject a generalized characterization of noncompliance. Patrick Devlyn, President of the Health Commission, Business Coordinating Council (CCE), has said that pharmaceutical companies have largely met delivery requirements, despite outstanding government payment arrears estimated at MX$40 billion (US$2.17 billion), which he argues have strained suppliers’ cash flow and operational capacity, reports MBN.

“In a census validated by CANIFARMA, with over 50 laboratories, we have confirmed debts exceeding MX$20 billion. When including other laboratories, the figure climbs above MX$40 billion,” says Devlyn, reports media.

Devlyn warns that payment practices deviate from tender agreements, with firms waiting up to 18 months for payment instead of the six months stipulated. “This creates operating challenges for laboratories, making it harder for the government to secure 100% supply for IMSS, IMSS-Bienestar, and ISSSTE,” says Devlyn.

Pharmaceutical companies also point to operational challenges at Laboratorios de Biológicos y Reactivos de México (Birmex), whose warehouses are reportedly saturated. “Medicines often arrive without signed contracts, based on goodwill, but once delivered, warehouses are full and shipments are sent back. This is a structural issue that must be resolved,” says Devlyn.

Looking ahead, Clark said planning for the 2027-2028 procurement began alongside the 2025-2026 process. The goal is to issue awards seven months before deliveries are due, allowing suppliers time to secure inputs, manage logistics and comply with regulatory requirements. Under the new calendar, bids submitted in early 2025 would translate into awards by mid-2026 and deliveries starting in January 2027, extending into 2028.

Starting 2027 with medicines already arriving, Clark said, is intended to ensure continuity for physicians and patients and to reduce the risk of shortages associated with last-minute procurement.