(Bloomberg) --
Australia has signed a letter of intent with AstraZeneca Plc to receive the University of Oxford's coronavirus vaccine should it prove successful, with Prime Minister Scott Morrison vowing to distribute it free to all Australians.
A future final agreement will include distribution, timing and the price of the vaccine, with hopes the university's project may be able to deliver the first product by as soon as the end of this year. It would be manufactured in Australia.
“If this vaccine proves successful we will manufacture and supply vaccines straight away under our own steam and make it free for 25 million Australians,” Morrison said in a statement.
The country is attempting to stifle a resurgence of the virus that's mainly hit Victoria, the second-largest state, forcing its capital city Melbourne into a lockdown and other states to close their borders. That's put pressure on Morrison's plan to lift the economy out of a crippling recession.
Covid Vaccine Turns Into a Shot at Redemption for Britain
The deal with AstraZeneca is part of the Morrison's government Covid-19 Vaccine and Treatment Strategy, which is being guided by medical and industry experts. The plan, expected to cost billions of dollars, includes a A$24.7 million ($17.9 million) contract with U.S. company Becton Dickinson & Co. for the supply of 100 million needles and syringes.
Separately, local biotechnology giant CSL Ltd. was quoted in the government's statement as saying while the University of Queensland's vaccine candidate remains its priority, it was in talks with AstraZeneca and the government to assess whether it could also provide manufacturing support for the Oxford vaccine.
Australia has detected a total of 23,773 cases since the pandemic started, with 438 deaths. On Tuesday it announced 226 new daily cases, down from tallies in the 700s in late July.
©2020 Bloomberg L.P.
Essential Business Intelligence, Continuous LIVE TV, Sharp Market Insights, Practical Personal Finance Advice and Latest Stories — On NDTV Profit.
