Mark Barkat, owner of Sydney Plastic, is left more than $800,000 out of pocket six years after producing 300,000 unprocured face shields during the COVID-19 pandemic. Nine.com.au reported that the business owner continues to pay thousands monthly in storage and insurance for the unused, TGA-approved personal protective equipment.
In Plain English: The Clinical Takeaway
- Supply Chain Volatility: Rapid pivoting by local manufacturers during public health emergencies can create severe financial vulnerabilities if government procurement frameworks lack binding contractual commitments.
- Regulatory Standards: Medical devices such as face shields require strict adherence to national and international benchmarks, including Therapeutic Goods Administration (TGA) registration and AS/NZS specifications, to be deemed clinically viable.
- Inventory Management: Public health agencies must balance urgent stock acquisition with clinical surplus monitoring, which can result in abrupt shifts in purchasing decisions during evolving health crises.
Pandemic Pivot and the Emergency Supply Call
In April 2020, then New South Wales premier Gladys Berejiklian issued an urgent public appeal for local businesses to assist in preventing medical supply shortages as global supply channels faced severe disruption. Barkat, who operated Sydney Plastic as a manufacturer of point-of-sale display products, answered the call by submitting an application to the COVID-19 Emergency Supplies Registration Portal.
The application was approved within two days. After obtaining TGA registration for the face shields, Barkat was informed on April 21 by HealthShare NSW—an agency under NSW Health that delivers support services for patients, hospitals, and health facilities—that Sydney Plastic had qualified as a prospective vendor. Barkat proceeded to manufacture 300,000 face shields meeting AS/NZS specifications and European Union CE Marking standards, investing over $800,000 in production.
Procurement Reversal and Ongoing Financial Burden
Three months later, on July 15, HealthShare NSW notified Sydney Plastic that the agency held a surplus for the “medium term” and would not place an order. Nine.com.au reported that no public tender or formal bidding process accompanied the initial qualification phase. A representative for HealthShare NSW explained that achieving supplier qualification did not equate to purchasing approval, a binding contract, or any assurance of orders, noting that purchasing choices rely on clinical advice, operational needs, and inventory levels.
Six years after the initial production run, Barkat reports spending over $6,000 monthly on factory rent and insurance to maintain 4,500 boxes of the unused personal protective equipment. An open market tender for personal protective equipment was subsequently published on the Buy.NSW website in 2025, though Barkat stated he was never notified. In 2026, NSW Parliamentary Secretary for Health Dr Michael Holland informed Barkat via letter that HealthShare NSW did not require face shields and that position had not changed since the pandemic.
| Timeline Milestone | Action / Event | Operational Status |
|---|---|---|
| April 2020 | Emergency portal application submitted | Approved by HealthShare NSW |
| April 21, 2020 | TGA registration and supplier qualification | Qualified in as potential supplier |
| July 15, 2020 | HealthShare NSW notification | Medium-term surplus declared; no order placed |
| 2022 – 2026 | Auditor-general reports and parliamentary correspondence | Procurement position reaffirmed; inventory unacquired |
References
- Therapeutic Goods Administration (TGA). Australian Regulatory Guidelines for Medical Devices.
- Audit Office of New South Wales. COVID-19 Pandemic Response Inventory Management Reports.
NSW Health. HealthShare NSW Procurement and Supply Chain Framework.
