Why Covaxin is expensive than Covishield, Sputnik V
Bharat Biotech's Covaxin, the only made-in-India vaccine among these three, is nearly double the price of Covishield and costs the same as Pfizer outside of India - around $19. It is the world's third most expensive vaccine.
A Covishield dose cannot cost more than $780 per dose, Russia's Sputnik V cannot cost more than $1,145 per dose, and Covaxin cannot cost more than $1,410 per shot. This includes GST (Goods and Services Tax) of $150.
Bharat Biotech's Covaxin, the only made-in-India vaccine among these three, is nearly double the price of Covishield and costs the same as Pfizer outside of India - around $19. It is the world's third most expensive vaccine.
Why covaxin is so high priced ?
"Covaxin's technology differs greatly from Covishield and Sputnik." "For Covaxin, an inactivated whole virus is used, so hundreds of litres of expensive serum must be imported, and the virus is grown in this serum under BSL labs with the strictest precautions, and then inactivated," said Rakesh Mishra, Adviser, Centre for Cellular and Molecular Biology.
"I understand why Covaxin costs nearly twice as much as Covishield, but the difference in pricing between Covishield and Sputnik V could be due to commercial considerations." "In terms of technology, mRNA vaccines are the simplest, cheapest, and do not require elaborate facilities," Dr Mishra said.
Moderna and Pfizer are mRNA vaccines. These do not use a live virus that causes COVID-19, but instead instruct body cells to produce a harmless piece of "spike protein" found on the Covid virus's surface. An immune response is elicited as a result of this.
If existing vaccines are ineffective against a variant, mRNA technology allows for a quick rejig to target the new variant. Because Covaxin's technology is based on inactivated virus, repurposing the vaccine for any new variant will be a lengthy and time-consuming process, according to Dr. Mishra.
Experts say the price of vaccines in use now worldwide is far lower than what is being charged for Covid vaccines. For example, the Pentavalent vaccine will be procured for a global programme at $17.37 a dose. The rabies vaccine, which uses the technology of an inactivated virus, similar to Covaxin, is sold at $200 per dose.
Cost of a vaccine includes raw material, packaging, overheads like plant operation and maintenance. Industry sources say the prices fixed for vaccines may be up to three times the cost incurred. Marketing, including the education of health workers on the use of the vaccine may account for another 30 per cent.
Despite this, experts estimate that a pure vaccine manufacturer in India can still make a profit of 3-4 per dose. Those involved in product development and manufacturing earn a profit of ten cents per dose.
Activist BV Seshagiri is among those who have questioned Covaxin's price, citing Bharat Biotech's Krishna Ella's declaration last year that the vaccine would cost less than a fifth of a water bottle.
According to experts, as the number of manufacturers and volumes increase, prices are expected to fall.