ADQ, one of the region’s largest holding companies, launched a new organisation to manage the procurement of healthcare products in Abu Dhabi.
The new organisation, Rafed, will initially be responsible for overseeing procurement for Abu Dhabi Health Services Company (Seha), which includes sourcing suppliers, managing contracts and handling distribution, ADQ said in a statement on Tuesday.
It will then broaden its remit to provide procurement services to other local and regional healthcare providers. The aim of the new entity is to reduce operating costs for healthcare providers and ensure effective procurement procedures, the company said.
“ADQ is taking the lead in creating a solution that directly addresses a need that exists across Abu Dhabi’s healthcare sector,” Jaap Kalkman, chief investment officer at ADQ, said. “By bringing together procurement, warehousing and distribution of healthcare products and supplies under one roof, we will be able to enhance the quality and cost of purchasing and ensure consistent availability and standardisation of essential requirements.”
Demand for healthcare products, especially ventilators and personal protective equipment, has gone up since the outbreak of the coronavirus pandemic earlier this year.
ADQ, set up in 2018 and expanded earlier this year, has a portfolio of conglomerates, spanning key sectors of Abu Dhabi's non-oil economy, including utilities, tourism and hospitality, aviation, transportation, logistics, industrial, real estate, media, healthcare, agri-foods and financial services.
Its portfolio includes Abu Dhabi Power Corporation, Abu Dhabi Airports, Abu Dhabi Ports, Etihad Rail, Seha, insurer Daman, media companies Abu Dhabi Media and twofour54 and Abu Dhabi National Exhibitions Company, among others.
Efforts have also taken place in Abu Dhabi in recent months to secure necessary supplies of medical equipment by producing more locally. In May, Mubadala Investment Company partnered with industrial company Honeywell to produce N95 face masks in the country as part of its drive to nurture the UAE’s manufacturing base and tackle the Covid-19 pandemic.
Honeywell set up a new production line with Strata, Mubadala’s wholly-owned aerospace manufacturing subsidiary, at its Al Ain facility to produce the face masks.