The Federal Government has been cautioned against imposing a 20 percent import adjustment tax on imported finished pharmaceutical products, as recommended by the Pharmaceutical products, as recommended by the Pharmaceutical Manufacturing Group of the Manufacturer's Association of Nigeria, PMG-MAN.

 

Taking the call yesterday in Lagos, President of the Association of Nigeiran Representatives of Overseas Pharmaceutical Manufacturers, NIROPHARM, Mr. Lekan Asuni, said such more lead to higher cost of several imported, life-saving drugs, against the Common External Tariff, CET, of the Economic Community of West African States, ECOWAS, of which Nigeria is a signatory.

 

 Speaking at a press conference, Asuni, in a presentation entitled: Access to Essential Medicines in Nigeria: Implications of the ECOWAS Common External Tariff (CET), faulted the assertion by the PMG-MAN for higher taxation on imported products of HS  Cticaode 3003 and HS Code 3004.

 

 "Whilst it is a development imperative for the Nigerian government to support local manufacturing across all industrial sectors, NIROPHARM affirms that the  PMG-MAN  position, albeit, based on an unsubstantiated premise that any additional taxes on the products will be passed to patients-should be deemed invalid.

 

 

 He said:  "More benefits are accruable to the wider Nigeria pharamceutical industry and Nigeians as a whole, if the CET Tariff is retained, supported and sustained".

 

 Noting that the position of NIROPHARM was that the Federal government "should ensure that the input into local pharmaceutical manufacturing, that is raw materials, excipients and percent importation tariff",

 

 As a way forward, Asuni called for access to funds at lower digit interest rates by overseas drug importers as was currently being enjoyed by the local manufacturers.

 

 He said: "Local manufacturers recently engaged in the perqualification of their facilities using this low interest funds.

 

  They also sourve for foreign exchange direcly from the Cetral Bankl, wheareas importers of pharmaceuticals do not have access to such facility.

 

 "This is a policy error which needs to be reviewed to maje medicines more affordable."

 

By: Sola Ogundipe

Vanguard