On procurement reform and the future of Syria’s pharmaceutical industry
How would you describe the current operating environment for pharmaceutical imports in Syria following the recent political transition?
NADINE CHAOUI: The pharmaceutical sector is operating through a period of significant adjustment. The main challenge is not the absence of demand, but the need for clear, consistent and workable mechanisms that allow legitimate suppliers to provide essential medicines. For companies representing multinational pharmaceutical firms, public-sector tenders remain the core route to market. These tenders supply public hospitals, where medication is provided free of charge to Syrian patients. This is especially important for specialised medicines, including oncology products and treatments for serious chronic diseases, which are beyond the financial reach of most patients.
The private market remains very limited. Purchasing power is low, private insurance has not yet developed meaningfully, and most medical spending is out of pocket. For high-cost treatments, it is unrealistic to expect patients to pay thousands of dollars per month. At the same time, legitimate importers face competition from irregularly imported products. Companies that comply with registration, transport, insurance, Customs and quality requirements are competing with products entering at lower cost. In pharmaceuticals, this is not only a commercial issue. Quality, storage conditions and traceability are directly linked to patient safety.
In what ways are public tenders affecting access to specialised medicines, and what changes are needed to restore supplier confidence?
CHAOUI: Public tenders are essential for access to specialised imported medicines, but they must be structured in a way that international suppliers can realistically participate. The first tenders after the political transition were very difficult for multinational companies. Payment was in Syrian pounds, delivery timelines were too short and the payment mechanism was unclear. For major pharmaceutical companies, 30-day delivery is often impossible. Some products require four to six months of lead time, and certain suppliers need forecasts far in advance because production planning is highly regulated.
Some non-financial terms have since improved. Lead times, for example, became more realistic, demonstrating that the authorities are responsive and willing to implement corrective measures. However, payment remains the main obstacle. Companies import in hard currency, often in currencies other than US dollars, while payment mechanisms are still not flexible enough. If payment is made at an official exchange rate that differs significantly from the market rate, the importer can incur major losses before even considering operating costs.
There is also the question of unpaid dues from the previous period. Many suppliers still have outstanding receivables and are reluctant to take on new exposure without acknowledgement and a credible path towards resolution. This is not only a financial matter; it is a question of trust. If suppliers are unsure whether they will be paid, or whether funds can be recovered in the currency needed to pay manufacturers, they will hesitate to participate even when medical need is clear.
Which reforms would help improve procurement quality and ensure that patients receive safe and effective medicines?
CHAOUI: The priority should be to build a procurement system that is transparent, professional and based on clear qualification standards. Syria needs medicines urgently, but speed should not come at the expense of quality or credibility. The key issue is whether suppliers are qualified, whether products meet the necessary standards and whether prices reflect real value. If a lower-cost product is safe, effective and priced accordingly, that can be part of the solution. However, poor-quality products should not enter the system at prices comparable to highly regulated medicines.
This is why audit and supplier qualification are important. Past practices should be reviewed to establish a clean and credible basis for future procurement. Companies should be assessed according to their compliance record, product quality, documentation, international references and ability to deliver under proper storage and distribution conditions. The new procurement authorities appear to understand many of these challenges, which is encouraging. However, technical awareness must be matched by clear decision-making authority and reliable payment procedures. A professional tender process requires appropriate timelines, transparent evaluation criteria, realistic currency arrangements and dependable execution. For multinational companies, compliance is non-negotiable. They cannot operate through informal arrangements or unclear mechanisms. If Syria wants these companies to supply critical products, the procurement framework must reflect how international pharmaceutical companies operate.
What is your outlook for Syria’s pharmaceutical sector over the medium term?
CHAOUI: I remain positive, but realistic. The need is clear, the market exists and the public-health importance of specialised medicines is undeniable. Hospitals need access to oncology treatments, chronic-disease medicines and other critical products. The question is whether the system can create conditions that allow reliable suppliers to participate without taking unacceptable financial and operational risks. One practical approach is to start with small pilot tenders. Limited bids could test the process from beginning to end: tendering, delivery, documentation, payment, currency conversion and fund transfer. If a small transaction works properly, confidence can gradually be rebuilt. If it does not, the loss is contained and the problems can be identified.
Financial-sector functionality will also matter. Pharmaceutical importers need predictable payment channels, access to hard currency and the ability to manage working capital. Operational costs also remain high, particularly for products requiring cold-chain storage, where temperature control and uninterrupted power are essential to quality. Syria has a strong local pharmaceutical manufacturing base, and that should be supported. Local production is important for affordability and resilience. However, imported specialised medicines will remain necessary in therapeutic areas where local alternatives are not available or where multinational products are clinically required.
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