The Pharmaceutical Manufacturing Group of the Manufacturers Association of Nigeria, has stated that there has been a significant rise of 300 percent in the production of pharmaceutical products within the country.
The company asserts that the escalation in drug costs can be attributed to various factors, including the issues associated with foreign currencies and the substantial expenses incurred in the production process.
According to The PUNCH, the Chairman of PMGMAN, Oluwatosin Jolayemi, expressed that pharmaceutical businesses encounter challenges in obtaining foreign exchange.
Jolayemi said, “Most pharmaceutical products have increased by 300 per cent because of the forex. We do not have the petrochemical industry and we do not have the Active Pharmaceutical Ingredient industry. For the API industry to survive, we need a petrochemical industry.
“The API cannot be easily achieved in Nigeria if we do not have the petrochemical industry because the API inputs that we will need to manufacture are still going to be imported and you still need forex, so forex is a major issue that is increasing the cost of drugs in the country.
“Most pharmaceutical companies, even before now have not been able to access forex in the banks so they have to access forex by export proceeds or parallel market, so the cost of goods will go up.
“The cost of production is going up, the cost of power is going up by 40 per cent.”
One of the issues affecting drug prices is the price of finding a suitable replacement, according to a former president of the Association of Industrial Pharmacists in Nigeria, Lolu Ojo.
Ojo said, “By the time you are replacing the drugs you need now, the prices are up. Also, forex is a challenge.
“Even the cost of fuel now is a factor influencing the prices of drugs. Some companies use cars for the sale and distribution of their products and they will fuel the car. For instance, if you were using N30,000 to fuel your car, you would be using at least N45,000 to fuel it now. So, these things will influence the prices of the drugs.
“Unfortunately, if it continues like this, people may find it difficult to buy essential drugs by the end of the year.”
