Axmed- a leading B2B marketplace for the procurement and distribution of medicines- has introduced an innovative pooled procurement platform aimed at transforming the healthcare supply chain and making essential medicines more affordable and accessible.
Speaking at the inaugural Axmed Access Summit in Nairobi, themed “Unlocking Access, Transforming Lives,” Emmanuel Akpakwu, CEO of Axmed, said the new platform would enable government procurement agencies, hospitals and hospital partners, international organizations and NGOs to connect directly with manufacturers and distributors. By consolidating orders, buyers can negotiate better prices and ensure a steady supply of quality medical products.
“The platform will make a significant shift in how medical supplies are sourced and distributed by aggregating demand across buyers and consolidating procurement. This will enable collective purchasing power, thereby reducing costs while ensuring timely and reliable access to essential medical products,” Akpakwu said.
Prices of essential medicines in many African countries are significantly higher than the lowest international reference levels. One major challenge is buyer fragmentation and limited domestic pharmaceutical manufacturing capacity. Many African nations lack the purchasing power of larger economies, making it difficult to negotiate favorable prices for essential medicines. Other barriers include the proliferation of counterfeit medicines, weak supply chain systems, and illegal pharmaceutical outlets.
According to pharmaceutical and supply chain experts, pooled procurement is a key solution to improving access to affordable, quality-assured medicines and medical products. The model helps lower costs through bulk purchasing, pooled negotiations, and ensuring quality standards and stable supplies.
Akpakwu emphasized that ensuring the quality of procured medicines can be challenging, especially when dealing with multiple suppliers across different countries.
“The platform will help enforce best procurement practices by ensuring medicines and medical devices are purchased from safe sources with a secured payment mechanism. It will also streamline the procurement process and reduce the risk of errors and fraud,” he added.
Beyond affordability, the platform is expected to facilitate the procurement of medicines for various health needs, particularly non-communicable diseases (NCDs), maternal, newborn, and child health (MNCH). With the support of Founderful, Axmed aims to expand its mission to serve patients across all therapeutic areas.
Kenya’s Cabinet Secretary for Health, Dr. Deborah Barasa, highlighted the importance of reliable access to medicines, stating that even the most sophisticated health interventions fail without it.
“Medicines are not just products but a cornerstone for healthcare. They alleviate suffering, save lives, and empower health systems to deliver better outcomes,” Dr. Barasa said.
She noted that the Kenya Kwanza administration is adopting strategies such as pooled procurement to promote local pharmaceutical manufacturing and strengthen the country’s health system while reducing reliance on external suppliers.
“The Axmed platform will bolster government efforts to build a health system that prioritizes accessible and affordable care for all. Its technology-driven approach exemplifies how digital innovations can revolutionize procurement by automating and streamlining supply chains,” she added.
Dr. Barasa also emphasized that efficient medicine distribution is just as critical as procurement, and Kenya is focusing on coordinated supply chain systems underpinned by digital technology and real-time data monitoring to improve distribution, reduce waste, and enhance accountability.
“A resilient, technology-driven supply chain not only supports routine care but also strengthens our emergency response capabilities,” she said
Health advocates and stakeholders welcomed the platform, citing its potential to address critical gaps in medicine access.
Selina Ogweno, CEO of Children Sickle Cell Kenya, noted that sickle cell disease treatment remains inaccessible for many due to high costs and inadequate healthcare infrastructure.
“For most sickle cell patients, diagnosis is not readily available, and linkage to care is a challenge. Most of the treatments are unaffordable,” Ogweno said, calling for collaboration to enhance access to life-saving medication.
Angela Nguku, founder and executive director of the White Ribbon Initiative, underscored the urgency of addressing medicine stockouts, calling them a “silent crisis” with hidden costs that deepen healthcare challenges.
“Our existing healthcare system is built for institutions, not for women and the people. Kenya should stop applying copy-pasted solutions meant for other regions to fix our local healthcare challenges,” she asserted.
With funding from the Gates Foundation and venture backer Founderful, Axmed is driving systemic change to improve access to essential medicines for underserved populations. A key aspect of its mission focuses on maternal, newborn, and child health (MNCH), with efforts extending to Kenya, Ethiopia, Tanzania, Rwanda, and Nigeria.
More than 60 organizations spanning the entire medicines delivery value chain are actively engaging with Axmed to improve access to high-quality medicines. These include global, regional, and local pharmaceutical manufacturers, governments, major buyers, and logistics companies.
Through the Axmed Platform, governments, faith-based organizations, and NGOs have reported over 25percent savings on pharmaceuticals and logistics while achieving greater transparency and operational efficiency. Partners include the Rwanda Medical Supply (RMS), the Organization of Eastern Caribbean States (OECS), and faith-based organizations such as Mission for Essential Drugs & Supplies (MEDS), the Christian Health Association of Nigeria (CHAN-Medipharm), and Joint Medical Store Uganda (JMS).
Global pharmaceutical leaders such as Pfizer, Sanofi, GSK, Dr. Reddy’s Laboratories, and local firms including Dawa Life Sciences, Laboratory & Allied, Regal Pharmaceuticals, Cosmos Pharmaceuticals, Emzor, and Fidson are actively collaborating with Axmed to build a robust and scalable platform.
Emmanuel Akpakwu affirmed that Axmed’s success extends beyond cost savings to improving lives and strengthening healthcare systems.
“Our success isn’t just about lowering costs; it’s about improving lives and strengthening healthcare systems. The Axmed platform and summit represent pivotal steps toward healthcare equity, but we know the journey doesn’t end here. We’re committed to scaling this vision alongside partners who share our mission,” he said.
As Kenya and other African nations work toward universal health coverage (UHC), innovative procurement models such as Axmed’s pooled procurement platform offer promising solutions to drive equitable access to affordable, high-quality medicines.