The South African government has entered into a partnership with a pharmaceutical company that will allow it to manufacture ingredients used in antiretroviral (ARV) drugs locally.

South Africa is the largest consumer of antiretrovirals in the world and spends 4.2 billion rand (AUS$509 million) a year on HIV medication. This new venture will allow the country to produce its own generic medication and reduce spending.

‘The project is in line with the plans of the South African government to address HIV and AIDS through the local and cost effective production of antiretroviral drugs,’ said Science and Technology Minister Naledi Pandor.

There are currently 5.58 million people living with HIV, approximately 11% of the South African population, according to data from the Actuarial Society of South Africa (ASSA).

Of these people, five million (89%) are adults aged 20 to 64 years while 2.93 million (53%) are women of child-bearing age (15–49 years). Youth aged 15 to 24 years account for 731 000 (13%) of those living with HIV, and children aged 14 years and below account for 454,000 (8%).

The start of the construction of the project has been set for 2013 and the company is expected to start producing antiretrovirals by 2016.