President Bola Ahmed Tinubu has signed an executive order aimed at increasing local production of healthcare products. The order removes tariffs, excise duties, and value-added tax (VAT) on imported pharmaceutical inputs, including active pharmaceutical ingredients (APIs), excipients, and other essential raw materials. This move is expected to reduce production costs and enhance the competitiveness of local manufacturers.
The executive order signed by President Bola Ahmed Tinubu is a significant step towards revitalizing the Nigerian health sector. By encouraging local production of healthcare products, the country can reduce its reliance on imports and improve access to essential medicines. The order also provides for the establishment of market shaping mechanisms, such as framework contracts and volume guarantees, to support local manufacturers.
President Bola Ahmed Tinubu: Zero Tariffs, Excise Duties, and VAT on Imported Pharmaceutical Inputs
The executive order signed by President Bola Ahmed Tinubu introduces zero tariffs, excise duties, and VAT on specified machinery, equipment, and raw materials imported for pharmaceutical production. This move is expected to reduce the cost of production and make local manufacturers more competitive. The order also mandates collaboration among relevant ministries and agencies to develop a harmonized implementation framework and ensure swift implementation.
The specified items include active pharmaceutical ingredients (APIs), excipients, and other essential raw materials required for manufacturing crucial health products like drugs, syringes, and needles. The order also covers Long-lasting Insecticidal Nets (LLINs) and Rapid Diagnostic Kits, among others. By removing tariffs and other taxes on these essential inputs, the government aims to encourage local production and reduce reliance on imports.
President Bola Ahmed Tinubu: Market Shaping Mechanisms to Encourage Local Manufacturers
The executive order signed by President Bola Ahmed Tinubu provides for the establishment of market shaping mechanisms, such as framework contracts and volume guarantees, to encourage local manufacturers. This move is expected to create a more favorable business environment for local pharmaceutical companies and encourage them to invest in the sector. The order also mandates collaboration among relevant ministries and agencies to develop a harmonized implementation framework and ensure swift implementation.
The market shaping mechanisms are designed to reduce the risk of investment in the pharmaceutical sector and encourage local manufacturers to increase production. By providing a stable and predictable market, the government aims to attract more investment in the sector and improve access to essential medicines.
President Bola Ahmed Tinubu: Collaboration Among Ministries and Agencies
The executive order signed by President Bola Ahmed Tinubu mandates collaboration among the ministers of health, finance, industry, trade, and investment to develop a harmonized implementation framework. This collaboration is expected to expedite regulatory approvals and reduce bottlenecks in the implementation of the order. The ministries and agencies involved include the Nigeria Customs Service (NCS), National Agency for Food and Drug Administration and Control (NAFDAC), Standard Organisation of Nigeria (SON), and Federal Inland Revenue Service (FIRS).
The collaboration among ministries and agencies is critical to the success of the order. By working together, the government can ensure a coordinated approach to implementing the order and reduce the risk of delays or bottlenecks. The ministries and agencies involved have been tasked with ensuring swift implementation, with special waivers and exemptions effective for two years.
Swift Implementation Expected- Says President Bola Ahmed Tinubu
The executive order signed by President Bola Ahmed Tinubu is expected to be implemented swiftly, with special waivers and exemptions effective for two years. The ministries and agencies involved have been tasked with ensuring that the order is implemented without delay. The government has also established a framework for monitoring and evaluating the implementation of the order.
The swift implementation of the order is critical to achieving the desired outcomes. By reducing the time it takes to implement the order, the government can quickly reduce the cost of production and improve access to essential medicines. The government has also established a framework for monitoring and evaluating the implementation of the order to ensure that it is effective in achieving its objectives.
President Bola Ahmed Tinubu Expects Boost to Local Pharmaceutical Industry Expected
The executive order signed by President Bola Ahmed Tinubu is expected to boost the local pharmaceutical industry by reducing the cost of production and improving access to essential medicines. The order is also expected to encourage local manufacturers to increase production and attract more investment in the sector. By improving the business environment for local pharmaceutical companies, the government aims to increase the contribution of the sector to the country’s GDP.
The boost to the local pharmaceutical industry is expected to have a positive impact on the economy. By reducing reliance on imports and improving access to essential medicines, the government can improve the health and wellbeing of citizens. The order is also expected to create jobs and stimulate economic growth in the sector.
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