Novartis Vows to Maintain Malaria, Leprosy Drug Production Despite Funding Cuts

Novartis, a Swiss pharmaceutical company, has announced that it will continue to produce medications for malaria and leprosy even if orders dry up due to global health funding constraints. The company produces 28 million treatment courses of malaria medication annually, almost all of which are sold at non-profit prices to various countries and organizations, including the U.S. President's Malaria Initiative (PMI).

Dr. Lutz Hengstmann, the head of global health at Novartis, emphasized the company's commitment to maintaining production levels despite the challenges posed by reduced international aid. He noted that the PMI, which is a significant buyer of Novartis' malaria drugs, has faced uncertainty due to substantial cuts in international aid by the Trump administration. However, some of the PMI's work was exempted earlier this year due to its life-saving potential.

Hengstmann highlighted that Novartis will not be a bottleneck in the supply chain. "We won't produce based on demand because we know these medicines are essential, and we need to find creative ways to get them from the factory to the patient," he stated. He also mentioned that a contractor for the PMI had to cancel an order after receiving a stop-work order from the U.S. government, but production was resumed within a month after the PMI received an exemption.

Novartis also supplies leprosy medication through donations to the World Health Organization. The Global Fund to Fight AIDS, Tuberculosis and Malaria is the largest buyer of Novartis' malaria drugs. Although the fund has not yet faced budget cuts, it is currently struggling to raise funds for its future operations in a challenging environment.

Hengstmann urged the pharmaceutical industry to take action, as governments in countries like the U.S., the U.K., and France are reducing aid. He suggested that the industry should strengthen direct cooperation with governments in traditionally aid-receiving countries. "I think if we just try to fill the gap left by donor countries, we would be missing an opportunity. I think we need to go beyond that," he said, proposing a public-private partnership model between pharmaceutical companies and low- and middle-income countries.

By the end of 2025, Novartis plans to double its investment in research and development for malaria and neglected tropical diseases, reaching $490 million instead of the initially promised $250 million. The company is currently developing a dengue fever antiviral drug, new therapies for leishmaniasis and Chagas disease, and the first drug for treating neonatal malaria.