Biogenics introduces local production of PPE in response to COVID-19 in Uganda
Uganda introduced one of the tightest lockdowns in Africa, and yet the WHO has reported that a third wave of COVID-19 infections is having a destructive impact. Dr Tony Hasahya, founder of Biogenics, is finding innovative approaches to the local manufacturing of face masks to cater to growing local demand and improve access to PPE.
As COVID-19 arrived in Uganda, all health supplies we imported and prices for PPE increased at least 15 times, states Dr Tony Hasahya. As a result, the Government tried to incentivise local production by fast-tracking licensing for local manufacturing particularly for face masks. This move enabled Biogenics Limited , an existing player in the medical supplies market, to catalyse its production of face masks four months earlier than planned.
Biogenics is a Ugandan-owned manufacturer and supplier of medical supplies and equipment formed in 2018 by Dr Tony Hasahya. The firm is a leading supplier of imaging equipment (such as x-rays, films, ultrasound machines, CT scanners, CR systems) and laboratory diagnostic machines. Prior to COVID-19, Biogenics had been importing and upcycling medical equipment and were already looking to manufacturing medical supplies.
“The exorbitant prices of masks that we were importing in the wake of Covid 19 were an eye opener to what we could do as a country and particularly as a company,” says Dr Hasahya. “This pretty much forced us to catalyse production of masks and therefore meet a local need.”
Lowering costs and increasing access
The Biogenics business model is based on local production of PPE with three-fold aims: to cater to the increasing demand, produce quality goods to international standards and to reduce local prices. Dr Hasahya and his team have developed different methods to lower the cost of set up, installation and production so that the end result is more affordable and accessible for consumers.
The company’s manufacturing plant has a hybrid of parts that are both imported and locally sourced. Biogenics designed manufacturing lines that are simple to install, compact and operate with low power usage to keep set up and production costs low. Added to this the firm set up the manufacturing plant to produce a range of medical supplies that use related inputs which would allow them to reduce costs of production further through bulk purchasing of inputs and economies of scale.
Through their efforts since the start of the pandemic, Biogenics has secured government licenses for the mass production of the 3ply surgical and KN95 masks in July 2020 making it one of the few indigenous companies producing these products in the country. Its current installed capacity is $70,000 worth of equipment with a production capacity of 30,000 KN95 masks and 100,000 3ply surgical masks per day.
Through the support it is receiving from COVIDaction, Biogenics is producing has scaled its production from a previous 30,000 3ply surgical masks per day to the current 100,000 surgical masks per day. The company hopes that the added production will help to bridge the gap in the market and offer a considerable price cut from 30 cents 12 cents per item.
“That price is a major determining factor in the medical supplies business in Uganda and Biogenics has successfully provided affordable rates to our customers allowing them to enjoy a cheaper end user price than those of imported products,” says Dr Hasahya.
COVIDaction is also supporting Biogenics in setting up an additional production line for the local manufacturing of cotton balls to cater to increasing demand from established customers to fit requirements as the vaccination programme picks up in Uganda. Along with this, support also includes technical assistance so that Biogenics engineers can work on the refurbishment of medical equipment.
“We have a high demand, which has been leveraged, from our medical equipment supplies arm of the business, which is mainly to hospitals, clinics and diagnostic centres,” Dr Hasahya says.
He also has plans in the coming months to move the Biogenics head office and manufacturing plant in Bukoto to a new larger location to enable the further expansion of production and gains through economies of scale.
Planning for growth
Once it is able to maximise plant capabilities and extend production lines for PPE and other medical supplies including gauze, wound dressing and medical gowns, Biogenics is expected to have a greater impact on job creation, both direct and indirect. The company’s operation is estimated to expand to 60 staff over the next year, predominantly in the areas of production line staff, distribution, sales and marketing although job opportunities would also extend to their supply chain due to increased demand for raw materials.
This growth may also open up the possibility for exports from Uganda to neighboring countries such as Democratic Republic of Congo, Kenya, Tanzania and South Sudan. Through COVIDaction, Dr Hasahya is already engaging other members of the LPLS community, especially those around east Africa to see if we can leverage connections to sell PPE in various communities.
“At the start of the covid pandemic, 100% of medical masks were imported, and currently, only 50% of medical masks are imported,” he says.
Although the plans for growth and export are strong, Dr Hasahya has an eye on the horizon and the market potential that still remains untapped. Demand for the Biogenics product lines are still in high demand due to the third wave of the pandemic. Day by day, he is working to make sure that locally produced vital supplies can be made available so that Uganda can continue its fight against COVID-19.
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