U.S. President Donald Trump’s administration awarded a contract worth up to $812 million for a new U.S. company to manufacture drugs and drug ingredients (API) to fight COVID-19 on American soil, aiming to end dependence on other countries.
The U.S Department of Health and Human Services said that it had awarded a 4-year, $354 million contract to privately-held Phlow Corp to make COVID-19 drugs, other essential drugs and their ingredients. The contract can be extended for up to $812 million over 10 years.
Phlow, which was incorporated in January, said the contract will help it contribute to a national stockpile of active pharmaceutical ingredients for essential medicines.
It said it had already started making pharmaceutical ingredients and finished dosage forms for over a dozen essential medicines to treat hospitalized patients with COVID-19-related illnesses. It has delivered over 1.6 million doses of five essential generic medicines used to treat COVID-19 patients to the U.S. Strategic National Stockpile.
Phlow has partnered with other groups including Civica Rx, Ampac Fine Chemicals and the Medicines for All Institute to manufacture the medicines.
SOURCE:REUTERS