IPS and pharmaceutical companies establish a working group to combat the medication crisis

The IPS (Instituto de Previsión Social, Paraguay's social security institute) and pharmaceutical companies have established a working group to combat the severe medication shortage crisis that is forcing beneficiaries to pay for treatments out of their own pockets.

IPS and pharmaceutical companies establish a working group to combat the medication crisis
AI-generated illustration.

The Social Security Institute (IPS) has established a working group with representatives from the pharmaceutical industry to address the severe medication shortage crisis affecting thousands of beneficiaries. The president of the IPS, Isaías Fretes, led the meeting with the Paraguayan Chemical-Pharmaceutical Industry Chamber (Cifarma) and the Chamber of Representatives and Importers of Pharmaceutical Products (Cripfa), seeking to establish predictability in the acquisition processes.

Fretes acknowledged that the institution faces a historical deficit, allocating only 44 billion guaranis monthly for medications, when the actual need is at least 155 billion. The Manager of Logistics and Supply, Cecilia Rodríguez, revealed that upon taking office three months ago, she found only 57% contractual coverage of the mandatory formulary of 513 medications, a situation that was raised to 93% after expedited bidding processes.

Chronic and oncology patients are the most affected by the shortage. Reports include a lack of vital medications like Adalimumab (costing 29.5 million guaranis), essential for autoimmune diseases, and chemotherapy drugs like Leucovorin and Oxaliplatin. Many beneficiaries are forced to pay for million-dollar treatments out of pocket or depend on solidarity campaigns.

Hernán Streber, president of Cifarma, emphasized the importance of predictability, explaining that the production of an injectable medication takes 48 days from the order. Edgar Villalba, from Cripfa, reinforced the need for planning for imports, as it is impossible to bring in products in just a few days. Both expressed support for Fretes's management and the joint work.

Carlos Pereira, an advisor to the IPS presidency, reported that the institution is renegotiating terms and financial flows with banks to free up budget and guarantee minimum stock levels. The immediate goal is to avoid a total stockout of medications, while seeking a medium-term financial balance for the institution.

Sources (3)

Updated: Jul 21, 2026, 1:30 AM