Bayer says to outsource some aspects of pharma business in Africa

Bayer says to outsource some aspects of pharma business in Africa

NAIROBI (Reuters) – Germany’s Bayer will contract a third party to distribute its pharmaceutical products in four African markets including Kenya, it said, adding that the impact on jobs will be minimal.

The company, which has 200 employees in the region, said the move that targets Kenya, Ethiopia, Nigeria and Ghana, will not impact its crop science division, which makes up 90% of the business.

Bayer will hand over the warehousing, distribution and sales representation of the medicines business, including for oncology and ophthalmology, to an unidentified third company beginning in May, it said.

The company did not say how many jobs would be affected, saying the process of identifying those roles was ongoing.

The move mirrors that of Britain’s GSK, which said in late 2022 it would switch to a third-party distribution model for its medicines and vaccines in Kenya, and close down its commercial organisation in the East African nation.

(Reporting by Duncan Miriri; editing by Jason Neely)