The Healthcare Federation of Nigeria (HFN) has hailed the Federal Government for the two-year import duty and VAT waiver on pharmaceutical raw materials.
The policy aimed to reduce the cost of essential medical products, boost local manufacturing, and improve healthcare accessibility across the country.
In a statement on Monday, HFN President, Njide Ndili, described the policy as “a landmark achievement that will significantly improve access to quality medicines and strengthen Nigeria’s pharmaceutical industry.
“This waiver is a direct result of continuous engagement and collaboration between the public and private sectors. It demonstrates the government’s commitment to ensuring affordable healthcare for all Nigerians.”
HFN thanked key government officials who played a role in implementing the policy, including the Minister of Finance, Mr. Wale Edun; Minister of State for Finance, Dr. Doris Nkiruka Uzoka-Anite; Coordinating Minister of Health, Prof. Muhammad Ali Pate; Minister of State for Health, Dr. Iziaq Kunle Salako; and the Comptroller-General of the Nigeria Customs Service, Bashir Adewale Adeniyi.
The organisation also acknowledged the contributions of stakeholders in the healthcare sector, particularly its members, for their efforts.
HFN highlighted its engagement with the Nigeria Customs Service since June 2024 to push for reforms that would remove financial barriers for pharmaceutical manufacturers. These discussions built on earlier engagements with the Federal Ministry of Finance, Budget, and National Planning in 2022, where HFN proposed fiscal measures to strengthen Nigeria’s healthcare sector.
The waiver applies to key pharmaceutical inputs such as Active Pharmaceutical Ingredients (APIs), excipients, diagnostic kits, reagents, and medical packaging materials. By eliminating financial burdens on manufacturers, HFN believes the policy will lower the cost of medicines, improve healthcare accessibility, and enhance Nigeria’s competitiveness in the African Continental Free Trade Area (AfCFTA).
Ndili said: “The cost of medicines has been a major challenge for many Nigerians. This policy will ease that burden, making essential drugs more affordable while also encouraging local production.”
The organization urged the Nigeria Customs Service to ensure smooth implementation of the waiver by issuing directives to its zonal offices and border posts nationwide. HFN also pledged to monitor the policy’s implementation to prevent bureaucratic delays.
Additionally, HFN welcomed the Federal Government’s decision to lift the ban on re-exporting previously imported goods. This move will allow for the exchange of obsolete healthcare equipment for newer and more advanced medical technologies.
The Minister of State for Finance, Dr. Doris Nkiruka Uzoka-Anite highlighted the broader impact of the waiver,
“This initiative is a step toward making Nigeria self-sufficient in pharmaceutical production. It will not only reduce our reliance on imports but also create job opportunities and attract investments in the healthcare sector.”
The waiver follows President Tinubu’s Executive Order of June 2024, which introduced zero tariffs, excise duties, and VAT on pharmaceutical raw materials and essential healthcare equipment.
HFN played a crucial role in advocating for these measures, reinforcing its commitment to fostering an enabling environment for healthcare investment and innovation in Nigeria.
With this policy in place, Nigeria is expected to reduce its reliance on imported medicines, boost local production, and position itself as a key player in Africa’s healthcare sector.
HFN reaffirmed its commitment to working with the government and industry stakeholders to maximize the impact of the fiscal reforms and ensure a more robust healthcare system for Nigerians.
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2025-03-28