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The Chairperson of the Portfolio Committee on Health, Ms Faith Muthambi, has noted with concern media reports regarding two suppliers contracted to tender antiretroviral drugs (ARVs) for the Department of Health were placed into business rescue.

According to media reports the contracted suppliers were placed into business rescue in December  2025. Ms Muthambi said, the media reports are worrying, particularly given the millions of AIDS patients who rely on ARVs medication.

Ms Muthambi said, the committee acknowledges the response issued by the Department of Health, which highlights that the phenomenon of companies entering financial distress after receiving state tenders is not new.

In its response the department said buffer stocks were maintained to address such eventualities. It further indicated that it recognises that better methods are now employed to achieve similar objectives.

The ARVs tender was deliberately awarded to multiple suppliers as a risk mitigation strategy. This approach is designed to ensure continuity of supply in the event of constraints by any individual contracted supplier, allowing the department to engage alternative suppliers swiftly when necessary.

Ms Muthambi said the committee welcomes the department’s confirmation of sufficient stock of ARV medications for the next three months. The committee’s concern, however, is the sustainability of the sufficiency of the stock after the end of the three-month period.

“Given the critical nature of this issue, there is an urgent need for accountability. Considering these developments, the committee plans to invite the Minister of Health, Dr Aaron Motsoaledi and representatives from the Department of Health to appear before it,” said Ms Muthambi.

The committee wants to understand the impact of the two suppliers who are unable to meet their contractual obligations and the extent of the problem. It needs to understand the contingency plans the department has in place, and if due diligence was conducted on the two suppliers prior to their receiving the tender.

Issued by Parliamentary Communication Services on behalf of the Chairperson of the Portfolio Committee on Health, Faith Muthambi