From Dolls and Sewing Kits to Water Pumps and Drilling Rigs
From the beginning different products were purchased in quantity by UNICEF and delivered from storage for use either as part of a set or as specific needs identified by the country for which they were destined. Thus products were purchased in different countries, delivered to a warehouse, stored, and then dispatched to the recipient country.
The usual procedures for delivery of products from one country to another require the payment of import duty; to avoid this a “Freeport” location was required. A search was undertaken in Rotterdam in Holland, Copenhagen in Denmark and in Monaco. The Danish government offered premises and office space in Copenhagen harbour, free of charge, so in 1962, UNIPAC (United Nations Procurement and Assembly Centre) was created as a UNICEF managed storage facility.
The purchasing function was split between Paris, in the European office, and New York headquarters. UNICEF was expanding its activities in more countries and supplies were a major part of every programme with the result that Supply Division also grew. In 1972 the European branch of Supply Division’s purchasing activity was moved to Geneva and became part of UNICEF’s Office for Europe.
The Director of the Division at that time was Heino Wittrin who had replaced Ed Bridgewater. Heino should be given credit for bringing a more professional approach to the provision of supplies to UNICEF supported programmes. The average supply content was more than 60% of the total expenditure in most programmes and contributed significantly to the success of the activity. The employment of procurement officers with qualifications and specialist knowledge of the supply components became more important to ensure that quality was maintained and that value for money was uppermost in the purchasing process.
The evolution of the division continued through the 1970s and early 80s and new offices, financed by the Danish government, were built in the Copenhagen Freeport as the number of staff increased. In 1985 it was decided that purchasing would be better placed next to the warehouse operation. Consequently, with the exception of supplies purchased in the Americas, all purchasing is now managed from the Copenhagen office.
The Danish Government Contribution
From the moment that the Danish government decided to make office and warehouse space available to the UNICEF supply activity in the 1960s they have continued to provide support in the form of upgraded and new buildings. The supply activity now benefits from new three year old
offices and a fully automated, 20,000 square meter warehouse.
Financial management and currency utilisation
International competitive bidding is the basis for all major expenditure on items to be stocked in the Copenhagen warehouse or provided against long term contracts. To ensure widespread participation and balanced global expenditure in the major contributing countries more than a hundred suppliers would be invited to offer bids for the supply of pharmaceuticals. Major donor governments are very interested that a good proportion of their contribution be spent on purchases from suppliers in their country.
Local Procurement
An important feature of UNICEF assisted programmes is the use of locally manufactured products as part of programme implementation. Local industrial development could often be assisted by the use of items which were not imported from overseas. The cost of transport would be greatly reduced and programme expenditure benefited the country directly.
What are some of the major supply items purchased by UNICEF?
Transport
Four-wheel drive vehicles, identified with the UNICEF logo, formed a considerable part of UNICEF support in the 70s and 80s, particularly in Africa. The provision of health services to populations in remote parts of the country depended on the health workers’ ability to move easily where
roads were often not more than dirt tracks.
Pharmaceuticals
Medical products and pharmaceuticals, to be stocked in Copenhagen or delivered directly to the country programme have always constituted a major part of UNICEF assistance. It should be noted that all pharmaceutical suppliers used by UNICEF are subject to approval by
WHO.
Vaccines
For the past thirty years UNICEF has been the biggest purchaser of vaccines, by number of doses, in the world. Again it should be noted that each supplier is approved by WHO before UNICEF purchasing commences. Vaccines were never stored in the warehouse as they require a carefully controlled temperature environment to ensure their efficacy. It is interesting to note that UNICEF began purchasing vaccines from the Serum Institute of India in the early 1990s and certainly contributed to the growth of what is now the largest vaccine producer in the world.
Water Equipment
The India Mark 2 hand pump, probably the longest serving hand pump in the world, was initially produced in India, and later with the assistance of UNICEF, production was begun in west Africa. Large numbers of small, high performance, water well drilling rigs contributed to the supply of
potable water, especially in Bangladesh.
Emergency response
The long term relationship that Supply Division has developed with its suppliers has made possible a very rapid response to emergency situations occurring from time to time in different parts of the world. A similar understanding exists with shipping organizations and airlines. As an example of this, Supply Division was able to charter the Antonov 225, the largest freight carrying aircraft in the world, to carry almost 200 tons of supplies from Copenhagen to Kabul at the time of the first emergency
arising in Afghanistan.
Looking forward
What are some of the major supply items purchased by UNICEF?
Transport
Four-wheel drive vehicles, identified with the UNICEF logo, formed a considerable part of UNICEF support in the 70s and 80s, particularly in Africa. The provision of health services to populations in remote parts of the country depended on the health workers’ ability to move easily where
roads were often not more than dirt tracks.
Pharmaceuticals
Medical products and pharmaceuticals, to be stocked in Copenhagen or delivered directly to the country programme have always constituted a major part of UNICEF assistance. It should be noted that all pharmaceutical suppliers used by UNICEF are subject to approval by
WHO.
Vaccines
For the past thirty years UNICEF has been the biggest purchaser of vaccines, by number of doses, in the world. Again it should be noted that each supplier is approved by WHO before UNICEF purchasing commences. Vaccines were never stored in the warehouse as they require a carefully controlled temperature environment to ensure their efficacy. It is interesting to note that UNICEF began purchasing vaccines from the Serum Institute of India in the early 1990s and certainly contributed to the growth of what is now the largest vaccine producer in the world.
Water Equipment
The India Mark 2 hand pump, probably the longest serving hand pump in the world, was initially produced in India, and later with the assistance of UNICEF, production was begun in west Africa. Large numbers of small, high performance, water well drilling rigs contributed to the supply of
potable water, especially in Bangladesh.
Emergency response
The long term relationship that Supply Division has developed with its suppliers has made possible a very rapid response to emergency situations occurring from time to time in different parts of the world. A similar understanding exists with shipping organizations and airlines. As an example of this, Supply Division was able to charter the Antonov 225, the largest freight carrying aircraft in the world, to carry almost 200 tons of supplies from Copenhagen to Kabul at the time of the first emergency
arising in Afghanistan.
Looking forward
The provision of supplies and equipment remains an integral part of UNICEF’s assistance wherever it is provided and in addition the ability to obtain essential items rapidly and in quantities large enough to satisfy emergency needs will always be part of Supply Division’s contribution. Future articles will describe the more recent evolution of the Division.
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