Reps move to tackle rising drug costs

• Lawmakers push for revival of local pharma industry
• Green Chamber okays transfer of NSIB from aviation ministry to Presidency

The House of Representatives has expressed concern over the rising cost of medicines in Nigeria.

It called for urgent measures to revive local pharmaceutical manufacturing and ease the burden on citizens.

The Green Chamber also approved the transfer of the Nigerian Safety Investigation Bureau (NSIB) from the Ministry of Aviation and Aerospace Development to the Presidency

The House resolution followed the adoption of a motion sponsored by Alex Mascot Ikwechegh, who highlighted the alarming increase in the prices of essential drugs in the past two years.

The Green Chamber noted that the cost of life-saving medicines has risen astronomically, placing them beyond the reach of millions of Nigerians, particularly those in rural and underserved communities.

According to industry data cited in the motion, the prices of some commonly used medications have surged by between 300 and 500 per cent, driven by inflation, naira devaluation, heavy reliance on imports, and persistent supply chain disruptions.

The lawmakers acknowledged that the Federal Government had, in June 2024, issued an Executive Order aimed at reducing production costs by eliminating tariffs, Value Added Tax (VAT), and import duties on pharmaceutical raw materials, equipment, and machinery. The policy was also designed to stimulate local manufacturing.

But the House observed that drug prices have remained high, despite the intervention, attributing the situation to poor implementation of the policy, exchange rate instability, regulatory bottlenecks, inadequate infrastructure, and limited access to financing for indigenous pharmaceutical companies.

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The lawmakers also expressed concern that the Federal Competition and Consumer Protection Commission (FCCPC), which in February 2025 started an investigative hearing into the high cost of medicines in collaboration with the National Health Insurance Authority (NHIA) and other stakeholders, has yet to make its findings public.

The lawmakers warned that delays in addressing the structural challenges in the pharmaceutical sector pose significant risks to national health security, especially in the event of public health emergencies or pandemics.

The House decried Nigeria’s continued dependence on imports, noting that over 70 per cent of medicines and active pharmaceutical ingredients (APIs) are sourced from abroad, leaving the country vulnerable to global price shocks, supply delays, and disruptions.

They emphasised the strategic importance of a strong domestic pharmaceutical industry, stressing that boosting local production would enhance national self-reliance, create jobs, support industrial growth, and improve access to affordable healthcare.

The House urged the Federal ministries of Health and Social Welfare, Industry, Trade and Investment, and the Central Bank of Nigeria (CBN) to ensure the full implementation and monitoring of the Executive Order on pharmaceutical production inputs.

It urged the Federal Government to establish a dedicated Pharmaceutical Industrialisation Fund under the Bank of Industry (BoI) to provide single-digit interest loans to local manufacturers, particularly small and medium-scale enterprises.

The Green Chamber tasked relevant regulatory bodies, including the Pharmacists Council of Nigeria, the National Agency for Food and Drug Administration and Control (NAFDAC), and the Standards Organisation of Nigeria (SON), to expedite the registration and quality assurance processes for locally produced essential medicines without compromising safety standards.

The lawmakers further urged the Federal Ministry of Information and the National Orientation Agency (NOA) to embark on a nationwide awareness campaign to promote the patronage of locally produced drugs.

To ensure compliance, the House mandated its Committees on Health Institutions, Industry, Commerce, National Planning and Economic Development, and Legislative Compliance to monitor implementation and report back within four weeks for further legislative action.

Also yesterday, the House, sitting as the Committee of the Whole, adopted a report on a Bill seeking to amend the NSIB Act and for related matters.

The Bill, sponsored by Abiodun Isiaq Akinlade, who represents Yewa South/Ipokia Federal Constituency of Ogun State, provides a legislative framework to move the bureau from the Ministry of Aviation to the Presidency for more efficient and robust performance and administration.

The report was presented by Fred Agbedi, who chairs the House Joint Committees on Special Duties and Aviation.

Presenting the report, Agbedi recalled that the Bill was referred to the committee on May 14, last year.

He stated that the committee subsequently conducted the mandatory public hearing on the same day, noting that the majority of stakeholders supported the proposed amendment to domicile the bureau in the Presidency, given that its scope extends beyond the Aviation Ministry.

“The sections of the Act affected by the amendment are Sections 8, 11, 13, 22, and 35. I urge the House, sitting as the Committee of the Whole, to consider and approve the report. I so move,” he said.

The report was unanimously adopted after Deputy Speaker Benjamin Kalu, who presided over the session, put the matter to a voice vote.