US avoids IV fluid shortage as Australian hospitals scramble and ministers convene emergency meeting

The US has avoided an intravenous fluid shortage as Australian state and territory health authorities hold emergency talks to discuss a national shortfall of the essential medicine due to “unexpected increases in demand”.

Major Australian hospitals are battling to source sufficient IV fluid, which is used to administer medication, fluids and nutrients and treat patients who are sick, injured, dehydrated or undergoing surgery.

The US is not currently suffering from a shortage but has at various points over the past few years due to a variety of events including increased use over COVID and Hurricane Maria, which destroyed pharmaceutical manufacturing plants in Puerto Rico in 2017.

Fresenius Kabi, one of only three pharma companies approved to sell IV fluid in Australia, was awarded a “Drug Shortage Assistance Award” for their efforts in mitigating the shortage of IV fluid by the US Food and Drug Administration in 2023.

Senior executives of the multinational pharmaceutical company also discussed successively capitalising on IV fluid shortages in the US market during a quarterly update to investors last month.

Fresenius Kabi chief executive officer Michael Sen said the US market was in need of generic IV fluid and the company was able to meet that need at the time.

“So if and when that market, which is a very relevant market, the US on the IV generic side, is in need — and it still is in need,” he said.

“There is a drug shortage on the essential medicine list of the FDA. And then we are there with capacity.”

Fresenius Kabi corporate communications director Tim Kuehrt told The Nightly that the pharma company was not experiencing manufacturing issues but rather the supply issues were due to increases in local demand.

“The supply issues are caused by an increase in local demand and delays in the global supply chain network,” he said.

“We are closely working with state health services to minimize the impact on patients and are exploring options to increase supply over the coming months.

“At Fresenius Kabi, we always put patients first and their health and wellbeing remain our highest priority.”

The Nightly has previously reported that shipments to Australia have been impacted by the ongoing conflict in the Red Sea with container vessels forced to divert around the Cape of Good Hope in South Africa.

Fresenius Kabi also has current contracts for the supply of pharmaceutical products with the US Defence Logistics Agency, which is responsible for ensuring supply for the military, and the US health department.

Baxter Healthcare, B.Braun and Fresenius Kabi were the only three company that are registered with the Therapeutic Goods Administration to import, export or manufacture IV fluid to Australia.

Australian-based Baxter Healthcare, which reportedly supplies about 75 per cent of the nation’s intravenous fluid, did not respond to The Nightly’s questions but has previously released a statement that blamed the shortage on “supply limitations and manufacturing issues from other suppliers”.

A joint statement released on behalf of state and territory ministers said a cross-jurisdictional response group had been convened with the Commonwealth to combat the IV shortage and met in Sydney on Sunday to discuss the shortage.

“Ministers noted the global supply limitations of IV fluids due to unexpected increases in demand and manufacturing capacity constraints,” said the joint statement.

“Shortages of IV fluids, while easing, are expected to continue through 2024.

“Ministers outlined the steps being taken to address supply in Australia and sought to provide reassurance to all Australians that supply challenges are being addressed and that health services are continuing.

“Jurisdictions are bringing unprecedented collaboration to the issue, with a cross-jurisdictional Response Group convened by all states and territories and the Commonwealth and including the views of the broader health system through representation from private hospitals and primary care.”

A TGA spokesperson said the IV fluid shortage was due to “global supply limitations, unexpected increases in demand and manufacturing issues.”