Angela Onwuzoo
A past President of the Pharmaceutical Society of Nigeria, Olumide Akintayo has lauded President Bola Tinubu for signing the Executive Order aimed at addressing the soaring prices of drugs and transforming the nation’s pharmaceutical sector.
According to the ex-PSN boss, the signing of an Executive Order on the availability of pharmaceuticals in Nigeria is a significant development that stakeholders in the sector welcome wholeheartedly.
Akintayo said the new order would lead to increased local production of healthcare products, reduce costs of healthcare equipment and consumables, and promote local investments.
The Coordinating Minister of Health and Social Welfare, Professor Ali Pate, on Friday, announced on X handle that in a transformative move to revitalise the Nigerian health sector, President Tinubu signed the executive order to increase local production of healthcare products, including pharmaceuticals, diagnostics, devices such as needles and syringes, biologicals, medical textile, and among others.
He said the Minister of Justice and Attorney General of the Federation, Prince Lateef Fagbemi is to take the next steps towards codifying the new order.
The executive order, according to the minister, has introduced zero tariffs, excise duties, and VAT on specified machinery, equipment, and raw materials.
The rising cost of drugs caused by inflation in the past few months further hampered access to health services in the country with many sick Nigerians unable to afford medication.
In 2023, GlaxoSmithKline, a British multinational pharmaceutical and biotechnology company announced plans to exit Nigeria, after 51 years of operation in Nigeria. This is even as other big pharmaceuticals announced plans to exit the country.
Reacting to the development in an exclusive interview with PUNCH Healthwise, Akintayo said, “The signing of an Executive Order on the availability of pharmaceuticals in Nigeria is a most significant development that patriots in our sector welcome wholeheartedly.
“We salute the sagacity of the Coordinating Minister of Health and the PS of the FMOH who have galvanized a commendable output in the health sector in recent times.
“Prof Alli Pate is beginning to distinguish himself as one who means what he says and therefore does what he says.”
The pharmacist noted that the new order would address major challenges confronting the nation’s pharmaceutical sector.
He added, “The inherent parturition this Executive Order brings must trigger off a new pharmaceutical industry couched and laden with possibilities and fruitfulness.
“We must move away from perambulations in the wilderness of retrogression.
“The FG through the FMOH must progressively intervene in the matter of unfortunate tariffs and unfriendly policies churned out by some of the key regulators in the pharmaceutical sector if prices of drugs will crash in the interim because these tariffs are a major reason drugs availability, accessibility and affordability can no longer be guaranteed in alignment with the National Drug Policy.”
While still congratulating the president, Akintayo urged him to appoint an Adviser on pharmaceuticals, who will coordinate the plethora of endeavours that are pharmacy in line with his administration’s policy.
Pate, who had hinted in February of the executive order, said the new effort would reduce production costs and enhance local manufacturers’ competitiveness.
According to the minister, the order is pivotal to the success of the initiative for unlocking the healthcare value chain, which was approved in October 2023 by the President.
“Specified items contained in the new Executive Order include Active Pharmaceutical Ingredients, excipients, other essential raw materials required for manufacturing of crucial health products like drugs, syringes and needles, long-lasting insecticidal nets and rapid diagnostic kits, among others.
“The Order also provides for establishing market-shaping mechanisms such as framework contracts and volume guarantees, to encourage local manufacturers”, Pate added.
He further noted that the order mandates collaboration between the Ministers of Health, Finance, Industry, Trade, and Investment to develop a “harmonised implementation framework, expediting regulatory approvals and reducing bottlenecks.”
The minister pointed out that agencies including the Nigeria Customs Service, NAFDAC, SON, and FIRS would ensure swift implementation, with special waivers and exemptions effective for two years.