FG pushes local drug production, eyes African pharma market

The Federal Government has stepped up efforts to increase local production of essential medicines and position Nigeria as a major pharmaceutical manufacturing hub in Africa, with a target of producing 70 per cent of the country’s essential medicines domestically.

The government also disclosed plans to deepen incentives for local pharmaceutical manufacturers and strengthen regulatory systems to enable Nigerian drug manufacturers expand into West Africa and the wider African market.

The Minister of State for Industry, Trade and Investment, Senator John Owan Enoh, represented by the Director of Chemical and Non-Pharmaceutical Industry, Mr John Okpe Oluwa, disclosed this at the 8th Nigeria Pharmaceutical Manufacturers Expo, NPME 2026, held at Harbour Point, Victoria Island, Lagos.

Enoh said the Federal Government was committed to moving Nigeria from an import-dependent market towards greater self-sufficiency under the Renewed Hope Agenda.

According to him, increasing domestic pharmaceutical manufacturing capacity would not only strengthen Nigeria’s medicine security but also provide the foundation for the country to become a major exporter of pharmaceutical products across Africa through the African Continental Free Trade Area, AfCFTA.

He said: “The government is targeting 70 per cent domestic production of essential medicines while developing a resilient ecosystem capable of meeting the country’s medical needs.”

To achieve the target, the minister listed proposed interventions, including expanded tax exemptions, tariff waivers on raw materials and machinery, incentives for backward integration in the production of active pharmaceutical ingredients and excipients, as well as dedicated pharmaceutical intervention funds.

He added that the government was working with regulatory agencies, including the Standards Organisation of Nigeria and the National Agency for Food and Drug Administration and Control, NAFDAC, to ensure that locally manufactured pharmaceutical products meet international standards and become more competitive in export markets.

The move comes as pharmaceutical manufacturers seek policy consistency and stronger investment support to enable them expand production, reduce dependence on imported medicines and compete in the African market.

The Chairman of the Pharmaceutical Manufacturers Group of the Manufacturers Association of Nigeria, PMGMAN, Oluwatosin Jolayemi, said the Nigerian pharmaceutical manufacturing sector was undergoing significant transformation, noting that the group now represents more than 200 local pharmaceutical manufacturing companies.

Jolayemi, however, said the gains recorded by the industry must be protected through policy consistency and a predictable investment environment.

He identified high energy and production costs, supply-chain challenges, port inefficiencies, limited access to long-term capital and market-access constraints as some of the challenges limiting the industry’s growth.

He therefore appealed to the Federal Government to extend the Presidential Executive Order supporting local pharmaceutical manufacturing, whose current policy window is expected to expire in March 2027, by another two years.

According to him, the extension would enable manufacturers deepen investments, expand production capacity and consolidate gains made in medicine security.

Jolayemi said Nigeria’s ambition to become a regional pharmaceutical manufacturing hub must be anchored on a competitive, scalable and resilient domestic manufacturing ecosystem.

He called for coordinated action among government, regulators, manufacturers, financiers and development partners to address structural barriers and move the industry beyond domestic production towards a globally competitive and regionally integrated manufacturing ecosystem.

Earlier, the Minister of State for Health and Social Welfare, Dr Iziaq Adekunle Salako, reaffirmed the Federal Government’s commitment to expanding domestic pharmaceutical manufacturing as a pathway to medicine security, healthcare resilience and economic development.

Salako stressed the need to strengthen capacity across the pharmaceutical value chain, covering research and development, innovation, sourcing of active pharmaceutical ingredients and excipients, formulation, manufacturing and quality assurance.

He also called for increased investment in sophisticated areas of pharmaceutical production, including biologics, vaccines and other critical health technologies.

The minister urged stronger regional cooperation to address regulatory barriers limiting access to African markets.

The Director-General of NAFDAC, Prof. Mojisola Christianah Adeyeye, disclosed that 37 local manufacturing facilities were undergoing retrofitting and construction upgrades to meet international standards.

Adeyeye said NAFDAC had made significant progress towards WHO global benchmarking and strengthened regulatory enforcement against non-compliant facilities.

She said reforms under the 5+5 policy had contributed to reducing drug importation and encouraging local manufacturers to improve their standards.

She stressed that Nigeria could not afford to reverse the gains recorded in local pharmaceutical manufacturing and urged the country to intensify efforts towards the production of vaccines and other critical health commodities.

Also speaking, the Director-General of the African Medicines Agency, Dr Delese Mimi Darko, called for stronger regulatory cooperation among African countries to accelerate access to quality-assured medicines and create a more integrated pharmaceutical market.

Darko said the African Medicines Agency was established to strengthen and coordinate national regulatory systems rather than replace them.

She said regulatory harmonisation would enable manufacturers to navigate African markets more efficiently.

Darko also stressed the need for African manufacturers to invest in research and development, technology transfer, skilled manpower, intellectual property and quality systems, arguing that localisation must go beyond simply producing medicines locally.

In his welcome address, the Chairman of NPME 2026, Pharm. Dr Patrick Ajah, said no nation could achieve sustainable greatness without manufacturing what its citizens consume, describing the pharmaceutical sector as fundamental to national development.

Ajah recalled that Nigeria’s drug consumption had historically been skewed towards imports, with about 70 per cent of medicines imported and 30 per cent produced locally.

He, however, said public-private collaboration over the past two years had begun to shift the balance.

He called on stakeholders to partner with PMGMAN to drive sustainable growth, stressing that the expo had created opportunities for businesses to expand across Nigeria, Africa and the global market.

The Lagos State Government, represented by the Special Adviser on Health, Dr Kemi Ogunyemi, pledged continued support for the pharmaceutical manufacturing sector, particularly in addressing energy costs, infrastructure, long-term financing, skilled manpower and regulatory predictability.

The expo attracted representatives of the European Union, UNICEF, European Investment Bank, Bank of Industry, IFC/World Bank, NAFDAC, Pharmacy Council of Nigeria, Federal Ministry of Health and Social Welfare, Federal Ministry of Industry, Trade and Investment, as well as other industry and academic institutions.

One of the highlights of the expo was the Founders and Industry Leaders Session, which brought together leading figures in Nigeria’s pharmaceutical manufacturing industry, including Dr Stella Okoli of Emzor Pharmaceuticals, Dr Fidelis Ayebae of Fidson Plc, Dr Olakunle Ekundayo of Drugfield Pharmaceuticals and Elder Varkey Verghese of Jawal International Limited.

The session provided emerging pharmaceutical entrepreneurs with insights into leadership, investment, innovation, succession, manufacturing and the challenges of building sustainable pharmaceutical businesses in Africa.

PMGMAN also unveiled its Industry Self-Regulation Quality Plus, ISRQ+, Project, which includes a five-year Medicine Security Industry Advocacy Strategy for 2027–2031, an ISRQ+ laboratory and a Data Repository and Learning Centre.

The group said the initiative was designed to strengthen industry intelligence, quality capacity, evidence-based advocacy and continuous learning, with its various components expected to be commissioned progressively within the next six to 10 months.

As the 2026 edition came to a close, PMGMAN said its focus would shift towards translating progress recorded in domestic manufacturing into a stronger, more integrated and competitive regional pharmaceutical ecosystem.

The closing remarks, delivered by Pharm. Frank Muonemeh, emphasised the need for stakeholders to remain committed to closing Nigeria’s medicine access gap and advancing greater medicine security across Africa.

PMGMAN also announced plans for the 9th Nigeria Pharma Manufacturers Expo in 2028, while preparations continue towards the commissioning of the ISRQ+ project.