The prices of locally manufactured drugs in Nigeria have risen due to the high cost of production, according to local drug manufacturers and medical professionals. According to Mr. Frank Muonemeh, Executive Secretary of the Pharmaceutical Manufacturers Group of the Manufacturers Association of Nigeria, the high cost of labor, power generation, and other inputs contributes to the high cost of locally produced medications and products.
He noted that manufacturers have little control over factors such as the high cost of diesel, which contributes to their extremely high operational costs.
“Diesel was selling at N650 last year but now sells around N1,060 or more. If we put the prices of locally manufactured products based on our production cost, the average Nigerian will not afford the drugs,” he mentioned.
Muonemeh warned that if local production is not prioritized, access to safe, affordable, and available drugs will remain an unattainable dream. He emphasized that the entire distribution process, from start to finish, significantly contributes to the high cost of production, making it even more crucial to support local manufacturing.
“Some of us are just holding forth due to patriotism. We don’t make profits again. The government needs to start funding pharmaceuticals to produce these generic drugs. If the film industry, the health sector can do it. Also, insurance will do a lot to remove out-of-pocket spending,” he maintained.
According to Chisom Uchem, Executive Secretary of the Anambra State Primary Health Agency, the principles of supply and demand can help reduce the cost of locally produced drugs.
He suggested that a shift in consumer preference from conventional medicine to alternative medicine would decrease the demand for foreign-made drugs, ultimately leading to lower prices. This increased demand for local products would encourage manufacturers to produce more, thereby driving down costs through economies of scale.
“The Nigeria Institute of Medical Research can look into research and development to find ways of promoting alternative medicine in Nigeria so that we can have our brand. The government should pay attention to encouraging research and development in schools.
“The government’s willingness to support research and development will make more people want to go into research and development of more alternative drugs.”
She added that if the government offers incentives for research and development of alternative medicines, it will encourage more individuals to invest in this field, leading to the creation of more locally produced drugs for common ailments.
This increase in local production will lead to a surge in supply, ultimately driving down drug prices and making healthcare more accessible to Nigerians.
“To get this done, we also need to have a regulation for our prescription products. If we do this, we will no longer depend on imported drugs but locally manufactured drugs that can serve the teaming population of Nigeria.”
