President Bola Ahmed Tinubu has initiated a move to crash the price of drugs in Nigeria.
This is as he signed an Executive Order to introduce zero tariffs, excise duties, and Value Added Tax on specialized machinery, equipment and pharmaceutical raw materials to bolster local production of essential healthcare products.
The announcement was made by the Minister of Health and Social Welfare, Prof. Muhammad Ali Pate, on his official X page.
According to him, the initiative focused on pharmaceuticals, diagnostics, medical devices such as needles and syringes, biologicals, and medical textiles, positioning Nigeria to enhance its healthcare value chain significantly.
“In a transformative move to revitalize the Nigerian health sector, His Excellency President Bola Ahmed Tinubu, GCFR, has signed an Executive Order aiming to increase local production of healthcare products (pharmaceuticals, diagnostics, devices such as needles and syringes, biologicals, medical textile, etc.).
“The Order introduces zero tariffs, excise duties and VAT on specified machinery, equipment and raw materials, aiming to reduce production costs and enhance our local manufacturers’ competitiveness,” he wrote.
The move comes amid a surge in the prices of pharmaceuticals in Nigeria amid rising inflation and the exit of GlaxoSmithKline Consumer Nigeria Plc, GSK, from the country.
Recall that GSK announced its exit plan on August 3, 2023.
It could also be recalled that in an interview with DAILY POST, the then President of the Nigerian Medical Association, Dr. Uche Ojinmah, said the life expectancy of Nigerians was on the decline due to a surge in the prices of pharmaceuticals.
Price hike: Tinubu announces executive order on zero tariffs for pharmaceuticals
