President Arroyo has authorized the Department of Health (DOH) to purchase flu vaccines here and abroad to ensure the country has adequate stockpile in the event of another health crisis.

The President issued Administrative Order No. 268 ordering the health department to take “preliminary steps” toward local manufacturers and low-cost importation of flu vaccines under compulsory licensing by law during national health emergencies.

In the order, the President also said the health department should also start contacting local and foreign manufacturers for possible production “so that such firms can begin studying the vaccines for replication.”

The order noted that Republic Act No. 9502 otherwise known as the cheaper medicines law mandates the granting of license to exploit and waives the requirement to obtain a compulsory license for importation of patented drugs on reasonable commercial terms in situation of national emergency.

“It is desirable to show government action against the Influenza A (H1N1) pandemic, while signaling to current vaccine makers and dealers that they face low-cost competition if they engage in profiteering and supply curtailment,” the order read.

The President said price controls should not be imposed for now “or else the rich will just buy up the supply and the Philippines may not get its vaccine allocation from global manufacturers.” Vaccines for Influenza are still awaited from abroad.

She said the health department must also prosecute drug companies engaged in profiteering over the excessive mark-ups on vaccines.

“The Department of Health, directly or through any authorized government agency, shall buy the bulk of deliveries of Influenza A (H1N1) vaccines to ensure enough supply for high-risk groups,” the order read. AO 268 was signed by the President last July 20. Executive Secretary Eduardo Ermita released copies of the order to the media last Wednesday.