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Estimating the Global In-Country Supply Chain Costs of Meeting the MDGs by 2015

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There is typically no routine collection or estimation of distribution costs for public health systems in developing countries. The cost of purchasing, storing, and distributing essential health medicines and supplies is often fragmented across different organizations and administrative levels within government as well as nongovernmental organizations and private providers.

Typical costing methodologies examine supply chain costs, including the cost of procurement, central storage, and distribution through different levels down to service delivery points. These costs will vary for different products such as Expanded Programme on Immunization, which requires a cold chain, and bulk items such as bed nets, particularly if these are delivered to households. The USAID | DELIVER PROJECT piloted a methodology that costs different SC functions at different tiers

This technical brief outlines the USAID | DELIVER PROJECT's costing model, cites available information sources, and identifies data gaps for estimating globally the in-country supply chain costs to meet the Millennium Development Goals by 2015. This brief was written by JSI's USAID | DELIVER PROJECT in 2009.

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