1 Project Assistance Completion Report –PACR Cooperative Agreement No. 520-0357-A-00-3222-00 I. PROJECT SUMMARY Date of Authorization: July 23, 1993 PACD: July 22, 2003 Implementing Agency: Importadora Productos Farmacéuticos S.A. (IPROFASA) Total Amount Authorized: US$2,725,402 Total Amount Obligated: US$2,725,402 Total Amount Spent: US$2,725,402 Counterpart Contribution: not required II. PROJECT DESCRIPTION USAID/G-CAP’s relationship with IPROFASA began in August 1982 when a five￾year Grant Agreement was signed to expand the availability of modern contraceptives nationwide at affordable prices through a commercial retail sales program. On July 23, 1993, USAID/G-CAP signed the current Grant Agreement with IPROFASA to develop and implement a sustainable, long-term strategy to expand the availability of affordable, temporary contraceptive methods through private commercial channels. In 1999, the Grant Agreement was converted to a Cooperative Agreement and the completion date was extended through December 31, 2001. An amendment signed in October 2001 extended the completion date of the Agreement to July 22, 2003. The objective of USAID support to IPROFASA under this Grant/Cooperative Agreement has been to expand the sale of low-priced condoms and oral contraceptives distributed through the commercial sector. This objective was pursued through USAID financing, on a declining basis, in support of IPROFASA’s social marketing program, USAID donations of condoms (repackaged as “Scudo”) and oral contraceptives (repackaged as “Perla”), and through the provision of technical assistance through the centrally-funded SOMARC Project. 2 As the Mission’s goals with respect to IPROFASA neared full realization, a phase￾out of assistance to IPROFASA began in 1999 when all direct financial and technical assistance ended and USAID assistance was limited to the donation of condoms and oral contraceptives. In 2002, the last condom donation was made and in March 2003, the last oral contraceptive donation was made. IPROFASA is now responsible for all of its own contraceptive procurement. III. RESULTS ACHIEVED The key results achieved under the original Grant Agreement and amended Cooperative Agreement are summarized below: ÿ Introduction of seven brands of condoms, eight brands of oral contraceptives, two types of IUDs, a contraceptive injectable and a vaginal tablet using social marketing techniques; ÿ Provision of approximately 490,000 couple-years-protection from all contraceptives distributed; ÿ “Scudo” condoms and “Perla” oral contraceptives (both donated by USAID and repackaged locally) achieved and have sustained the leading market share for condoms and oral contraceptives in pharmacies; ÿ Scudo and Perla products sold in over 1,500 retail outlets nationwide; ÿ IPROFASA has achieved financial self-sufficiency; ÿ IPROFASA has negotiated and begun to procure replacement stocks of condoms and oral contraceptives from private suppliers and has agreed to maintain the low price of Scudo and Perla (adjusted for inflation), thus assuring a continued commercial source of low-priced condoms and oral contraceptives; ÿ IPROFASA and Pan American Social Marketing Organization (PASMO) reached agreement in early 2003 to eliminate “push money” and collaborate on the joint placement of generic ads for condom sales. IV. FINANCIAL REPORTS AND AUDITS Financial monitoring of the Cooperative Agreement consisted of a review of the quarterly financial reports submitted by IPROFASA, as well as financial audits/reviews contracted by the recipient. The last completed audit for calendar year 2002 showed no reportable findings. 3 V. End Use Checks End use checks as such were not required given that IPROFASA did not procure equipment under the Agreement. Verification of distribution of USAID￾donated commodities in pharmacies was informally conducted and reported sales data correspond to the amounts donated by USAID. A letter, copy attached, was sent to IPROFASA officially closing this activity and their Final Report is attached to this PACR. P:\Ohe.pub\docs\IPROFASA PACR