Reliance on Imported Drug Ingredients Threatens Nigeria’s Medicine Security, Stakeholders Warn

ABUJA, NIGERIA    —  Nigeria’s heavy dependence on imported raw materials for medicines threatens its medicine security, government officials and development partners said at a meeting in Abuja on Friday, calling for a practical roadmap for active pharmaceutical ingredient production at home, Premium Times reported.

The meeting, organised by Nigeria Health Watch with the World Bank Group, focused on accelerating the shift to domestic production of active pharmaceutical ingredients (APIs) for priority essential medicines. APIs are the chemical substances in medicines that produce their therapeutic effect.

Why active pharmaceutical ingredient production matters

Olumide Okunola of the World Bank Group said Nigeria has pharmaceutical companies that make finished medicines, but many depend on imported APIs and other raw materials. That dependence exposes manufacturers to supply-chain disruptions, trade restrictions and price volatility, he said, citing the COVID-19 pandemic as an example of how quickly global supplies can be cut off.

Okunola said Nigeria does not need to make every ingredient locally, but should identify essential APIs that can feasibly be produced at home. He named inadequate infrastructure, unreliable electricity, limited finance and regulatory bottlenecks as constraints, and suggested building on existing industrial and petrochemical capacity.

Chris Isokpunwu, Permanent Secretary of the Federal Ministry of Industry, Trade and Investment, said domestic production should be treated as both a health and an economic priority. Without it, he said, “Nigeria cannot achieve sustainable health security”. He called for a roadmap covering priority APIs, investment, infrastructure, incentives, regulation and implementing institutions, and cited the African Continental Free Trade Area as an opportunity to serve regional markets. He also cautioned: “We must, however, be careful not to pursue local production at any cost.”

Abdu Mukhtar, National Coordinator of the Presidential Initiative for Unlocking the Healthcare Value Chain (PVAC), represented by Zara Abba-Aji, said PVAC is working with local manufacturers to prioritise APIs and with the Nigeria Sovereign Investment Authority on manufacturing excipients, the inactive ingredients in medicines. PVAC is also helping a local manufacturer seek European Investment Bank financing and technology transfer, and runs the pooled procurement platform MediPool.

Vivianne Ihekweazu, Managing Director of Nigeria Health Watch, expressed concern about slow progress on the federal executive order to increase local production of health products.

Targets and incentives

In September, the federal government set a target of at least 70 per cent local production of essential health products by 2030, Premium Times reported. Minister of State for Health and Social Welfare Iziaq Salako has said about 87 local manufacturers benefit from tariff relief on pharmaceutical machinery, APIs and excipients, and the government has reported about $2 billion in financing commitments, with roughly 50 Nigerian health companies in advanced funding talks.

Most countries that make APIs at scale, such as India and China, built the industry over decades with sustained state support, large chemical industries and economies of scale. API plants are capital-intensive, need reliable power and water, and must meet strict quality standards to be accepted by regulators. Small volumes can make local APIs more expensive than imports unless production is focused on a few products with large, steady demand.

That is why speakers stressed prioritisation. Candidates for active pharmaceutical ingredient production in Nigeria are likely to be medicines used in large quantities, such as treatments for malaria, hypertension, diabetes and common infections, where a domestic supply could protect patients from shortages and price spikes.

Currency is another factor. Because APIs are bought in dollars, a weaker naira raises the cost of locally made medicines, even when they are finished in Nigeria. Local manufacturers have also reported that power costs consume a large share of revenue, which affects their ability to compete.

Excipients, the inactive ingredients that bind tablets or fill capsules, are part of the same picture. PVAC’s work with the Nigeria Sovereign Investment Authority on excipient manufacturing reflects the view that domestic supply chains need both active and inactive inputs to reduce reliance on imports.

Quality will be decisive. APIs made in Nigeria would need to meet the standards required by NAFDAC and, for exports, by regulators in other African markets. The new African Medicines Agency, which opened regulatory hubs in Kigali last week, could help by offering early scientific advice to manufacturers seeking approval across several countries. Any plan for active pharmaceutical ingredient production will need that regulatory pathway to succeed.

For patients and pharmacies, a more secure supply would mean fewer stock-outs and more stable prices for essential medicines. For the industry, it could create jobs and exports if quality is assured.

The meeting did not announce a list of priority APIs or a timeline for the roadmap.

 

 

Why it matters: Making key drug ingredients at home could protect Nigerian patients from shortages and price shocks driven by global supply and currency swings.

 

 

Source: Premium Times,  October 2026.