FG Targets 70% Local Production Of Essential Medicines By 2030

The federal government has said it is targeting at least 70 per cent local production of essential healthcare products by 2030 as part of efforts to strengthen medicine security and reduce dependence on foreign supplies.

The Minister of State for Health and Social Welfare, Dr Iziaq Adekunle Salako, disclosed this on Monday in Lagos while declaring open the 8th Nigeria Pharma Manufacturers Expo, organised by the Pharmaceutical Manufacturers Group of the Manufacturers Association of Nigeria.

Salako said disruptions during the COVID-19 pandemic and changes in global healthcare financing had exposed the need for Nigeria and other African countries to develop stronger domestic capacity to produce medicines, vaccines, diagnostics and other critical health technologies.

He said the federal government had introduced the Presidential Initiative to Unlock the Healthcare Value Chain (PVAC) and the Presidential Executive Order for Pharmaceutical and Allied Sectors to revitalise local manufacturing and strengthen the health value chain.

According to him, PVAC has secured commitments of about $2 billion at single-digit interest rates, with about 50 Nigerian health firms currently in advanced funding discussions.

He also disclosed that 87 local manufacturers were benefiting from the implementation of the Presidential Executive Order, which provides zero tariffs on pharmaceutical machinery, active pharmaceutical ingredients (APIs) and excipients across almost 1,000 Harmonised System codes.

The minister said the government was also working to expand domestic production of APIs, vaccines, biologics, diagnostics and other health commodities.

He cited the operationalisation of the NIPRD API Capacity Building and Concept Production Centre, development of commercial API manufacturing capacity and efforts to localise the production of HIV, hepatitis and syphilis diagnostic products.

Salako, however, said genuine localisation must go beyond assembling imported pharmaceutical products in Nigeria.

“Localization must not mean simply importing the active ingredients, packaging materials and technologies and assembling the final product here.

We must progressively build capacity across the entire value chain—from research and raw materials to formulation, quality assurance, manufacturing, packaging and distribution,” he said.

He called for increased investment in research and development, particularly in harnessing Nigeria’s phytomedicinal resources.

The minister said the establishment of Medipool, Nigeria’s national Group Purchasing Organisation for essential medicines and medical commodities, would help create predictable demand for local manufacturers by aggregating procurement, negotiating bulk purchases and improving supply-chain efficiency.

Salako urged pharmaceutical manufacturers, researchers, investors and development partners to take advantage of the African Continental Free Trade Area to expand markets and improve the competitiveness of Nigeria’s pharmaceutical industry.

He said Nigeria’s medicine security would depend on sustained investment, innovation, regulatory alignment and regional market integration.

“Our health security will be built not only in hospitals and laboratories, but also in our factories, universities, research centres, supply chains and investment decisions,” he said.