Sheinbaum Issues Decree to Boost Mexico’s Pharmaceutical Industry

President Claudia Sheinbaum issued a decree linking public healthcare purchases to local investment, aiming to boost the domestic production of medicines, vaccines, and medical devices. The policy aims to build a biopharma ecosystem that fosters innovation, job creation, and economic growth.

The decree intends to leverage Mexico’s annual public health expenditure of over MX$300 billion (US$15 billion) by requiring companies bidding on government contracts for medical supplies to invest directly in local manufacturing or infrastructure. 

“This structural change addresses decades of policy that weakened our industry and aims to restore technological sovereignty in health,” says Eduardo Clark, Deputy Minister of Health.

Historically, most pharmaceuticals used in Mexico’s public health system have been imported, as the removal in 2008 of local investment requirements led to diminished national production capacity, reports Eje Central. The new policy reverses this by conditioning procurement on private sector commitments to build industrial capacity and develop specialized talent within the country.

This new biopharma ecosystem is planned to include industrial parks with bioincubators, innovation clusters, and specialized training centers to develop skilled scientific and medical personnel. These efforts aim not only to supply Mexico’s health system but also to position the country as a regional hub for medical innovation and manufacturing.

By encouraging companies to invest domestically, the government expects to boost R&D, create specialized employment, and stimulate regional economic development. The decree also preserves the principle of providing free medications within the public healthcare system.