Gavi ishas been engaged in supporting rotavirus vaccination since 2007. Each year, rotavirus vaccines prevent 180,000 deaths and save over USD over 60 million in treatment costs.

To optimize its support, Gavi needs to address two critical market issues: the slow pace of the vaccines’ introduction in large countries, and the availability of the vaccines preferred by countries.

Currently, two WHO prequalified vaccines are available in Gavi-supported countries: RotaTek administratedadministered in a 3-dose schedule, and the countries preferredcountries-preferred Rotarix administratedadministered in a 2-dose schedule. The latter is predominantly demanded due to its presentation, and represented 92% of Gavi volume in 2015.

In 2017, the demand for Rotarix is estimated to exceed the supply capacity, boosted by the expansion of the rotavirus vaccine market predicted to reach USD 1.9 billion by 2025. Depending on the development, regulatory, and production capabilities, four new prequalified vaccines from Indian manufacturesmanufacturers may enter the market between 2017 and 2020.

An evaluation of the current market shows an unsatisfactory framework meeting only three of the eight healthy market characteristics. One of them, the “country vaccine preference” for Rotarix is not met and slows Gavi’s progress in the introduction of rotavirus vaccines and in the number of immunized children. To improve the market state, Gavi has to look into market shapingmarket-shaping interventions that will positively impact the supply of country preferredcountry-preferred vaccines while supporting the new vaccines that are required to satisfy the demand from India.

Supply and Procurementprocurement objectives and target outcomes

Gavi has identified three priority objectives:

1. Balance supply and demand by increasing the supply of country preferredcountry-preferred vaccines, enabling the domestic production of vaccines in self-procuring countries, and launching new WHO prequalified vaccines in the next three years.
2. Reduce the long-term vaccine cost reduction by seeking manufacturers that can offer competitive prices and characteristics.
3. Minimize the challenge faced by countries by the introduction of innovative vaccines and cold chain capacity.