After the deal with the American based vaccine developer – Novavax, the Serum institute of Pune has finalised a deal with the Gates Foundation and Gavi, the global vaccine Alliance. The deal has been made for 100 million doses of Covid19 vaccine for India as well as other low and middle income category countries (LMICs) by the year 2021.

The Gates foundation would provide at risk funding of $ 150 million to GAVI, which will then finance the Serum Institute (SII) to manufacture the vaccines. Gavi stands for global alliance for vaccines and immunisation, a public- private global health partnership with important contributions and inputs from the World Bank, the World Health Organization and UNICEF. To obtain the vaccine for other low and middle income countries, Gavi’s Covax AMC will work with the Serum institute. AstraZeneca and Novavax, the candidate vaccines from the Oxford University would be procured using the funding after getting required licences and WHO pre-qualifications. Subsequently the SII would start manufacturing the vaccine. A price ceiling has been kept at $3(approx. INR 225).

It should not be surprising given India’s track record in delivering high quality low cost research in medical field. In June, Gavi Covax AMC(Advanced Market Commitment), a financing instrument was launched to boost the production of sufficient number of vaccines for the LMICs. As of now, it is looking for a seed fund of $2 billion after finalising the list of 92 countries where it will make the vaccine available. If the AstraZeneca vaccine is successful, GC AMC will make it available in 57 countries which are Gavi eligible. If the Novavax is successful, then AMC will make it available to all the 92 countries. Any country’s gross national income data as available from World Bank sources determines whether it is Gavi eligible or not. Drugs controller general of India has already given a green signal to Serum institute to conduct Phase II and Phase III human clinical trials of the AstraZeneca candidate vaccine.