The Chief Executive Officer of Innovative Biotech, Dr. Simon Agwale, has called for urgent policy reforms to reposition Nigeria’s pharmaceutical sector for sustainable growth and global competitiveness.
Speaking in an interview in Abuja on Monday, Agwale urged the Federal Government to move beyond rhetoric by adopting demand guarantees to stimulate local production and support indigenous manufacturers.
“The most important solutions include the use of demand guarantees, not just slogans,” he said.
He stressed that Nigeria must advance beyond basic drug formulation and packaging to upstream production, particularly Active Pharmaceutical Ingredients (APIs) and excipients.
“Building full value-chain capacity is critical to reducing dependence on imports and strengthening national health security,” he added.
Data indicate that Nigeria remains heavily dependent on imported medicines, with about 70 per cent of drugs consumed in the country sourced from abroad, while local manufacturers meet only a limited share of demand.
Agwale noted that domestic production is largely confined to lower-end medicines, with more complex and high-value drugs still imported—leaving the country vulnerable to supply chain disruptions and foreign exchange pressures.
He also highlighted the need for affordable, long-term industrial financing, pointing out that high borrowing costs continue to constrain investment in pharmaceutical manufacturing.
The biotech expert further emphasised the importance of addressing infrastructure deficits, particularly in power and water supply, and called for the development of shared industrial facilities to support manufacturers.
“Fix power, water and shared industrial infrastructure,” he said.
Agwale observed that the sector is operating below optimal capacity, with some estimates suggesting local manufacturers produce only about 25 per cent of Nigeria’s medicine needs.
He warned that without comprehensive structural reforms, Nigeria’s ambition to become a pharmaceutical production hub in Africa may remain elusive.
The recommendations come as the Federal Government intensifies efforts to boost local manufacturing and reduce import dependence, especially following global health emergencies that exposed vulnerabilities in supply chains.
