In a presentation to investors,Atomo said it “now intends to actively engage with global rapid test manufacturers,focusing initially on COVID-19 rapid self-test manufacturers with a view to securing commercial interest in its swab test device as it seeks to complete product commercialisation and set up volume manufacturing”.
The comments come as demand for rapid tests continues to outstrip supply across the country. On Monday,corporate Australia rebutted claims from deputy prime minister Barnaby Joyce that businesses and individuals had been hoarding the products,which had impacted supply.
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A range of home-grown biotechs including Atomo have been warning about the lack of interest in onshore production of rapid diagnostics since the middle of last year. Queensland-founded producer Ellume has been heavilyfocused on the US market since signing a $300 million deal with the Biden administration in February 2021.
Sources familiar with the matter confirmed that Atomo has not requested a formal meeting with minister Taylor to discuss onshore production,however.
A spokesman for the minister for industry,energy and emissions reduction Angus Taylor said the government was working closely with the minister for health and the biotech sector to evaluate future manufacturing options for rapid antigen tests.
The spokesman said a company needed product approvals and licences before they could manufacture goods for supply into Australia,and that businesses such as Atomo were still working through that process.
“In Australia,manufacturers of therapeutic goods such as Atomo Diagnostics are required to hold a licence or a conformity assessment certificate from the Therapeutic Goods Administration (TGA) for the product to be sold and used in Australia.
“We understand from Atomo Diagnostics’ quarterly activity report Q2 FY22 that the company is working to obtain TGA approval. Encouragingly,there are many Australian companies which have submitted an application for self-tests to the TGA for consideration and approval.”
Most states are importing tests,with Victoria ordering 210 million test units to arrive in the coming weeks and months. “We’re working closely with Victorian businesses to secure local manufacturing of rapid antigen tests,” a Victorian government spokesman said.
The Omicron variant has put global pressures on supply of rapid tests.Credit:Health Department
Atomo sold an average of 90,000 tests per month in the three months to December and all the stock it had in Australia was sold or committed for sale in the first weeks of 2022.
Mr Kelly said the company would be ordering more stock from Access Bio,but noted there may be some delays on delivery of orders. “I don’t think there is any issue with us getting more product,but the lead times are fluctuating globally,” he said.
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