The Nigeria Customs Service (NCS) has announced the implementation of a Presidential Executive Order aimed at enhancing local manufacturing of healthcare products, reducing the costs of medical equipment and consumables, and stimulating local investment in the sector.
According to a statement issued on Tuesday by the NCS National Public Relations Officer, Assistant Comptroller Abdullahi Maiwada, the directive was approved by President Bola Ahmed Tinubu through the Honourable Minister of Finance and Coordinating Minister of the Economy, Olawale Edun.
As part of the initiative, the government has granted a two-year exemption from import duty and Value Added Tax (VAT) on critical raw materials essential for pharmaceutical production. These include Active Pharmaceutical Ingredients (APIs), excipients, and other vital materials used in manufacturing essential medicines, Long-Lasting Insecticidal Nets (LLINs), Rapid Diagnostic Kits, reagents, and packaging materials.
To ensure proper implementation, only pharmaceutical manufacturers recognized by the Federal Ministry of Health and Social Welfare, and possessing a valid Tax Identification Number (TIN), will be eligible for these incentives. This measure is designed to ensure the benefits reach legitimate manufacturers committed to strengthening Nigeria’s healthcare sector.
For transparency and accountability, the NCS will compile and release quarterly reports detailing all importations under this policy, including data on importers, quantities, and values of the imported items.
The Customs Service reaffirmed its commitment to facilitating trade, enhancing border security, and supporting national development. It called for cooperation from stakeholders, including importers, manufacturers, and relevant government agencies, to ensure the successful execution of the policy.
The initiative is expected to boost local pharmaceutical production, improve healthcare access, and reduce dependence on imported medical products, aligning with the government’s broader economic and health sector reforms.