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Why experts are not happy with India’s COVID-19 vaccine procurement, pricing policy
The Narendra Modi government’s recent strategy in respect of vaccination against COVID-19 has drawn flak from a section of public healthcare experts as well as economists.
The Union government recently announced two crucial steps: Vaccine makers can sell half their COVID-19-related stock to states and the private sector and vaccination would open up for the 18-45 age group May 1, 2021; but they won’t be sponsored by the Centre, like others have been until now.
Earlier, the central government had agreed to provide emergency use approval for vaccine candidates that have been okayed by the developed countries.
Soon after the Centre’s decision, Serum Institute of India Pvt Ltd priced its Covishield vaccine at Rs 600 a shot for private providers and Rs 400 for states, later scaled down to Rs 300. Bharat Biotech International Ltd has priced a single dose of its Covaxin at a flat Rs 600. Every recipient must take two doses of either vaccine.
Experts slammed the move by the Centre to allow COVID-19 vaccine makers to sell 50 per cent of their stock directly to states and the open market.
More than 20 states, including Kerala, Delhi, Maharashtra, Haryana, Odisha, Jharkhand and Karnataka, have announced free vaccination either for all or particular age groups.
State governments, which have no prior experience in procuring vaccines, will end up spending 27 per cent of their health budget on an average, Anjela Taneja, lead (inequality, health, and education) for charity network Oxfam, told Down To Earth. The figure is based on an estimation done by Oxfam for an upcoming report.
“At least 27 per cent of the state health budget 2021 will go into just getting the vaccination done. How will the procurement of medical oxygen, ventilators, hospitals and medicines happen?” she asked.
Calculations done by different experts suggest that vaccinating the entire population would cost the Union government somewhere between Rs 50,000-70,000 crore. The Union government had allocated Rs 35,000 crore for COVID-19 vaccination in the 2021-22 Budget.
Ratings agency India Ratings and Research Pvt Ltd’s (Ind-Ra) estimates show that vaccinating the entire population may cost Rs 67,190 crore, of which the Union government will incur Rs 20,870 crore and state governments together will incur Rs 46,320 crore. The total is only 0.36 per cent of the gross domestic product, a small amount, given the economic cost of the pandemic. The calculation was based on the assumption of Rs 400 per dose, with five per cent wastage.
Similarly, Indranil Mukhopadhyay, health economist at OP Jindal School of Public and Government Policy, said procuring vaccines for 1.3 billion Indians (Rs 500 per person) would have cost the government roughly Rs 56,000 crore.
“But if the central government is procuring at scale, the cost would be reduced. Then, a Rs 35,000 crore (budget) would also be good enough. If there is a shortfall, the PM CARES fund can be utilised,” he said – DTE
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Flood warning issued to the Divisional Secretariat Divisions of Ganga Ihala Korale, Udapalatha, Doluwa, Udunuwara, Yatinuwara, Gangawata Korale, Harispattuwa, and Pathadumbara
Due to heavy rainfall received in the upper catchment areas of the Mahaweli River over the past few hours, there is a risk of minor flooding in the low-lying areas surrounding the Mahaweli River within the Divisional Secretariat Divisions of Ganga Ihala Korale, Udapalatha, Doluwa, Udunuwara, Yatinuwara, Gangawata Korale, Harispattuwa, and Pathadumbara.Residents living in the above mentioned areas and motorists using roads passing through these areas are urged to exercise extreme caution and remain highly vigilant regarding the prevailing situation.
Furthermore, residents living in close proximity to the Mahaweli River in these areas are advised to remain highly alert to the situation and take all necessary precautions to protect themselves from any potential flooding.The relevant disaster management authorities are requested to take all necessary measures in response to this situation.
The National Building Research Organisation [NBRO] has issued landslide Red Alerts to the districts of Kandy, Kegalle and Nuwara Eliya effective from 14:00 hrs on 20.09.2026 To 14:00 hrs on 21.09.2026
Accordingly,
LEVEL III [RED] Land Slide early warnings have been issued to the Divisional Secretaries Divisions and surrounding areas of Pasbage Korale in the Kandy district, Dehiowita, Aranayake, Deraniyagala, Mawanella and Yatiyanthota in the Kegalle district and Kothmale West, Kotmale East, Ambagamuwa and Norwood in the Nuwara Eliya district
LEVEL II [AMBER] Land Slide early warnings have been issued to the Divisional Secretaries Divisions and surrounding areas of Padukka in the Colombo district, Nagoda, Thawalama and Neluwa in the Galle district, Bulathsinhala, Palindanuwara, Walallawita and Agalawatta in the Kalutara district, Ganga Ihala Korale in the Kandy district, Bulathkohupitiya and Kegalle in the Kegalle district, Akuressa and Pitabeddara in the Matara district, Thalawakele in the Nuwara Eliya district and Pelmadulla, Ratnapura, Ayagama, Kuruwita and Ratnapura in the Ratnapura district.
LEVEL I [YELLOW] Land Slide early warnings have been issued to the Divisional Secretaries Divisions and surrounding areas of Seethawaka in the Colombo district, Niyagama and Baddegama in the Galle district, Mirigama in the Gampaha district, Ingiriya in the Kalutara district, Udapalatha and Yatinuwara in the Kandy district, Galigamuwa, Warakapola and Ruwanwella in the Kegalle district, Kotapola, Pasgoda and Athuraliya in the Matara district, and Eheliyagoda, Kalawana and Elapatha in the Ratnapura district.
News
Development projects can deliver results to the people more quickly when the political authority and the public service work together towards a common goal – PM
Prime Minister Dr. Harini Amarasuriya stated that development projects can deliver results to the people more quickly when the political authority and the public service work together towards a common, people-oriented objective.
The Prime Minister made these remarks while participating in a discussion held on Friday [September 18] at the Western Province Council Auditorium to review the progress of the development project to rehabilitate Rathmalana Kandawala Road and the drainage system on either side of the road, within the Dehiwala–Mount Lavinia Municipal Council limits in the Colombo District.
The project, which commenced on September 10, 2026, is scheduled to be completed before June 30, 2027. Implemented by the Provincial Road Development Authority (PRDA), the project includes the construction of a bridge at a cost of Rs. 64 million, the rehabilitation of the drainage system at a cost of Rs. 930 million, and the rehabilitation of the road at a cost of Rs. 115 million.
The Prime Minister also paid special attention to the progress of the responsibilities assigned to the Western Province Council, the Irrigation Department and the Ratmalana Divisional Secretariat in accordance with decisions taken at the previous committee meeting. Attention was also given to the current status of the plans being carried out by the Sri Lanka Land Development Corporation (SLLRDC), as well as the construction and maintenance activities being undertaken by the Provincial Road Development Authority (PRDA).
Commending the expedite and commendable progress of the project, the Prime Minister particularly appreciated the commitment demonstrated by officials of the relevant government institutions to work in close coordination with one another and in collaboration with the political authority.
The Prime Minister also emphasised the importance of taking measures well in advance to control flooding and minimise its impact on Colombo and several other districts in view of the rainy weather that may affect the Western Province during the latter part of this year.
The meeting was attended by the Chairman of the Colombo District Coordinating Committee and Member of Parliament Lakshman Nipuna Arachchi, Chairperson of the Ratmalana Divisional Coordinating Committee and Member of Parliament Samanmalee Gunasinghe, Chairman of the Roads Sub-Committee of the Colombo District Coordinating Committee Dewananda Suraweera, Mayor of the Dehiwala–Mount Lavinia Municipal Council Parakum Shantha, Chief Secretary of the Western Province K.G. Pradeep Pushpakumara, along with a number of government officials.
[Prime Minister’s Media Division]
Flood warning issued to the Divisional Secretariat Divisions of Ganga Ihala Korale, Udapalatha, Doluwa, Udunuwara, Yatinuwara, Gangawata Korale, Harispattuwa, and Pathadumbara
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Development projects can deliver results to the people more quickly when the political authority and the public service work together towards a common goal – PM
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