IV Fluid Shortage Looms as Hurricane Helene Forces Baxter Factory Shutdown
Hospitals across the United States are preparing for a potential shortage of IV fluid. This is due to the closure of a major production facility belonging to healthcare company Baxter International, the leading producer of IV fluid in the country. The shutdown was necessitated by the havoc wreaked by Hurricane Helene in North Carolina.
Baxter International has stated that it is working tirelessly in collaboration with local, state, and federal officials to assess the damage and formulate a plan to restart the plant as soon as possible. This is to minimize the disruption of supply to patients.
Impact on Hospitals and Measures Taken
Baxter, based in Deerfield, IL, has warned hospitals to anticipate a 40% drop in its IV fluid supply compared to normal levels. This information was shared by Dr. Paul Biddinger, the chief preparedness and continuity officer at Boston's Mass General Brigham hospital, during a media conference call.
Mass General Brigham, along with other hospitals, has already started implementing strategies to maximize their existing inventory. This includes encouraging staff to use alternatives like Gatorade or water in situations where they can meet patient hydration needs as effectively as an IV drip. The hospital is also avoiding the wastage of partially-used bags when patients are moved to different departments.
Extent of Damage and Market Impact
The flooding of Baxter's plant in Marion, North Carolina, which typically produces 1.5 million bags a day, was partly caused by a breached levee. The return to production will be further complicated by the destruction of bridges in the area by Hurricane Helene. Baxter has stated that it cannot provide a timeline for the resumption of operations at the facility. This news led to a 2.47% drop in Baxter shares on Thursday, although they edged up 0.63% in after-hours trading.
Before the hurricane, Baxter held a 60% share of the U.S. IV fluid market. B. Braun Medical, which held a 23% share, is now aiming to increase its own production. The company has stated that it is focusing on the "most critical products," including large-volume bags of sodium chloride, sterile water, and lactated ringers.
Anticipated Shortage and Global Impact
However, these efforts will not be enough to prevent a shortage. A spokesperson for Braun Medical told NBC that they anticipate significant constraints on the U.S. supply of IV fluids due to the production outage at Baxter's North Cove plant.
The U.S. cannot rely on European manufacturers to fill the gap due to existing global shortages, according to Soumi Saha, senior vice president of government affairs at Premier, a group purchasing organization for hospital supplies that serves thousands of U.S. medical institutions.
Political Implications
The news of the impending IV fluid shortage follows a narrowly-averted crisis caused by a brief longshoremen strike that closed ports from Maine to Texas. The White House, and presidential candidate Kamala Harris, are now facing increasing criticism over their response to Hurricane Helene. A crisis in hospitals due to the shortage of IV fluids will only add to these challenges.
Bottom Line
The closure of a major IV fluid production facility due to Hurricane Helene has put U.S. hospitals on high alert for a potential shortage. While efforts are being made to mitigate the impact, it appears that a shortage is inevitable. This situation not only poses a serious challenge to the healthcare sector, but also has political implications. What are your thoughts on this situation? Share this article with your friends and let us know your opinion. Don't forget to sign up for the Daily Briefing, delivered every day at 6pm.
