With energy costs gulping more than 40 per cent of revenue, pharmaceutical manufacturers have urged the Federal Government to introduce dedicated industrial power tariffs and stronger policies on Active Pharmaceutical Ingredients (APIs) to make local drug production competitive and achieve medicine security.
The appeal was made by the Pharmaceutical Manufacturers Group of the Manufacturers Association of Nigeria (PMG-MAN) at a media briefing in Lagos ahead of the 8th Nigeria Pharma Manufacturers’ Expo (NPME 2026), scheduled for September 28 and 29 at Harbour Point, Victoria Island, Lagos.
The Chairman of PMG-MAN and Managing Director/CEO of Daily-Need Industries Limited, Mr Oluwatosin Jolayemi, who was represented by the Chairman of the Exhibition Planning Committee and Managing Director/CEO of May & Baker Nigeria Plc, Dr Patrick Ajah, reaffirmed the industry’s target of achieving 70 per cent local drug production.
Ajah said the sector, which has grown from 20 pioneer members in 1983 to more than 200 manufacturing companies, remains committed to reducing Nigeria’s dependence on imported medicines.
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He noted that the expo, themed “Regional Manufacturing: Advancing Africa’s Pharma and Life Science Sovereignty through Localisation,” would bring together manufacturers, policymakers, investors, technology providers and other stakeholders to discuss the essentials of local pharmaceutical production.
Meanwhile, the Executive Secretary and Chief Executive Officer of PMG-MAN, Pharm. Frank Muonemeh, said Nigeria’s pharmaceutical industry had recorded significant milestones in the last few years, with a paradigm shift towards local manufacturing.
He cited a reduction in imported finished pharmaceuticals from 4.03 billion units to 1.13 billion units as of 2025, according to data from the National Agency for Food and Drug Administration and Control (NAFDAC).
Muonemeh, however, said high energy costs and delays in clearing pharmaceutical inputs remained major threats to the competitiveness of local manufacturers.
He noted that companies spend more than 40 per cent of their revenue on electricity and alternative power generation, compared with less than 10 per cent among competitors in countries such as China and India.
He urged the government to introduce targeted interventions, including dedicated industrial energy tariffs, while strengthening policies that encourage local production of APIs and other pharmaceutical inputs.
PMG-MAN also appealed to President Bola Ahmed Tinubu to extend the Presidential Executive Order supporting the pharmaceutical sector from its current two-year cycle to a five-year framework.
The group argued that longer-term policy stability would attract investment and consolidate gains in local production.
The group said the upcoming expo would focus on discussions around technology transfer, regulatory harmonisation, market access, contract manufacturing, joint ventures and cross-border market integration.
More than 200 exhibitors and nearly 10,000 industry professionals are expected to participate.
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