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Policy & Compliance


Vaccine supply under threat from theft and counterfeits


Having warned of various threats to the COVID-19 vaccines supply chain late last year, international freight insurer TT Club is now reporting a spate of disruptions to effective distribution across the globe


All actors in the global supply chain must be increasingly alert to a range of risks due to criminal activity targeting vaccine supply. From theft and illegal sale of authentic


vaccines to counterfeiting, substitution with fake pharmaceuticals and contamination, the threats posed by criminals attempting to take advantage of this very high-value cargo are widespread. Mike Yarwood, TT Club’s managing director


loss prevention, has warned that the risks should not be under-estimated. “It is probable that the market for counterfeit


pharmaceuticals is worth US$400 billion a year and the World Health Organization (WHO) estimates that up to 1 million people die annually from counterfeited drugs,” he pointed out. “The current and future supply chain challenge


to distribute the COVID-19 vaccines, in all their forms, from various countries of production, will mean that these figures are likely to grow. Multiple incidents have already been reported,” said Yarwood.


Contaminated cargoes In the Netherlands, upon opening the trailer doors of a full truckload of pharmaceutical products, the consignee was faced with 10 male migrants who had been hiding in the trailer. The cargo was contaminated and had to be destroyed. While in the UK, three arrests were made following the theft from a truck of COVID- 19 lateral flow testing kits worth over £100,000. Recently two counterfeiting organisations


focusing on COVID-19 vaccines were successfully broken up. In one case more than 3,000 saline filled vials were being sold as authentic vaccines before being seized in Chinese police raids. Another report noted that


10


400 vials, the equivalent of around 2,400 doses, were discovered to be containing fake vaccine in a warehouse in Gauteng, South Africa. While in both cases a quantity of counterfeit goods was seized and arrests were made, it remains unclear what volume of fakes had already been manufactured and shipped. Latin America is the latest region to report


extensive serious malpractice. In Mexico, a variety of Pfizer vaccines and others from three Chinese manufacturers (both genuine and counterfeit) have been offered for sale at up to US$1,200 per dose. Many have been subsequently administered. And in Brazil, water- filled and empty syringes have been found on the black market. A range of COVID-19 vaccines have been


posted for sale on the dark net. The prices, in Bitcoin, range from US$250-300. There is no way to determine whether these vaccines are genuine, or even exist at all, placing potential users at huge risk. As the WHO and altruistic charitable


organisations such as the Gates Foundation, with


its Global Alliance for Vaccines and Immunisation (GAVI), strive to ramp up vaccine supply to the poorest nations, there needs to be appropriate investment in the security of the subsequent supply chains, maintaining the integrity of the cargo. Indeed, TT urges equal attention by governmental agencies to the end-to-end vaccine supply chain to avert fatal undermining of the substantial R&D efforts globally.


Responsibilities Yarwood concluded: “Should the responsibilities of the pharmaceutical companies, and organisations funding the supply, end at the point of production and sale, leaving local governments to manage security through the supply chain? A degree of uncertainty will prevail and


security effectiveness differ from region to region. Operators who are called upon to transport, store and deliver such vital supplies, therefore, must be super-vigilant in guarding against loss through theft and the infiltration of fakes into the supply chain.”


May 2021


www.bifa.org


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