CAG report reveals shocking fact : Haffkine Bio Pharmaceutical Corporation Limited did not supply 71% medicines at all

By Sachin Kaulkar, Nagpur representative

Nagpur, Maharashtra – Haffkine Bio Pharmaceutical Corporation Limited (Haffkine Corporation), once renowned for its vaccine and medicine production is now becoming quite a white elephant for  the State Government. A CAG report on HBPCL has revealed that it did not supply 71% of the medicines required by the centres that come under the Commissioner of Health Services, Medical Education and Drugs Department during the five year period between 2016-17 to  2021-22. An audit report on Public Health Infrastructure and Management of Health Services in Maharashtra (Financial Year 2016-17 to 2021-22) by Comptroller and Auditor General of India (CAG) was tabled in the Maharashtra Legislature on 21st December 2024. This report has revealed shocking facts about the status of the Health Management in the state of Maharashtra.

The CAG report states that Haffkine Corporation is responsible for the purchase of medicines for all the centres that come under the Commissioner of Health Services as well as Medical Education and Drugs Department.  But for the financial years 2015-16 to 2021-22, no records of medicines ordered by 3 centres was received by the Commissioner of Health Services as well as Medical Education and Drugs Department In addition to this, it was found that for 12 centres where the records were available, HBPCL had not supplied 71% of required medicines at all.

48% of the funds were unutilised

In the above 5 years, the Department of Public Health, Medical Education and Drugs sent Haffkine Corporation a requirement of Rs. 4,298 crores of medicines. Yet, Haffkine  Corporation gave orders worth only Rs. 2,979 crores.  Of this, an actual supply of only Rs. 2,086  crores was provided. This meant that owing to Haffkine Corporation’s inability to supply medicines, it was left with 48% of its funds unutilised. This put tremendous strain on patient care. Haffkine Corporation had maximum unutilised fund when Uddhav Thackeray was the Chief Minister of Maharashtra. In the year 2019-20, Rs. 332 crores; in the year 2020-21, Rs. 842 crores and in the year 2021-22, Rs. 347 remained unutilised.