The Commission on Audit (COA) has raised alarms over the Department of Health’s (DOH) inventory management after discovering that approximately ₱217 million worth of medicines had already expired as of December 31, 2025.
In a recent Audit Observation Memorandum (AOM), state auditors further revealed that another ₱476.5 million in medical supplies are currently at risk of expiring.
The report highlights a recurring struggle within the department to balance procurement volume with actual grassroots demand, leading to significant stockpiles that go unused.
“These figures suggest that procurement planning and inventory management could be further refined to prevent overlocking. The volume of near-expiry medicines also presents a risk that supplies may lapse before reaching beneficiaries,” COA stated.
The audit body emphasized that these systemic inefficiencies do more than just clutter warehouses; they represent a significant loss of taxpayer money and a failure to deliver essential healthcare to the public.
“This situation impacts the timely distribution of medical resources and could lead to the inefficient use of government funds,” the commission added.
This is not the first time the DOH has faced scrutiny over its logistics. COA previously cited the department for various deficiencies, including sluggish recording processes and a lack of proper documentation regarding how supplies move through the system.
Auditors specifically questioned whether the DOH’s procurement requests were based on accurate assessments of what patients actually need.
In light of these findings, COA has directed Health Secretary Teodoro Herbosa to implement more rigorous oversight. The recommendations include enforcing strict timelines for the disposal of expired items to lower storage costs and improving coordination between units to ensure that near-expiry stocks are prioritized for immediate distribution.
The commission concluded by calling for a deep-dive review into the root causes of these accumulations to prevent the continued wastage of vital medical resources.