Pharmacists blame FG, NAFDAC for soaring drug prices

The Pharmaceutical Society of Nigeria, Lagos State Branch, has attributed the alarming increase in drug prices nationwide to the Federal Government and the National Agency for Food and Drug Administration and Control, characterizing government interventions as ineffective and poorly executed.

Oyekunle Babayemi, the state chairman of the society, stated in a press release that President Bola Tinubu’s executive order aimed at reducing drug prices has "failed completely" and is exacerbating the pharmaceutical crisis in the nation.

Babayemi expressed his concerns, stating, "The Executive Order signed in June 2024, which was intended to eliminate tariffs, excise duties, and VAT on pharmaceutical inputs, has not resulted in lower drug prices. On the contrary, Nigerians are facing higher costs, and essential medicines are becoming increasingly scarce."

He referenced a recent newspaper article, arguing that the order, now commonly referred to as "sick and stranded," was destined to fail from the outset as it did not tackle the fundamental issues driving drug price inflation, such as excessive reliance on imports and regulatory hurdles.

Babayemi specifically criticized NAFDAC for imposing what he termed exploitative and unjust fees on drug importers and manufacturers, which he believes are directly contributing to the rise in prices.

He remarked, "NAFDAC’s multiple Good Manufacturing Practice inspection fees, where each Nigerian importer is charged separately for the same foreign site visit, have not only stifled competition but also compelled many small enterprises to close their doors."

The PSN chairman revealed that the initial company incurs a fee of $10,989.01 for the site visit, while others are charged an additional $5,000 each under what NAFDAC refers to as a ‘risk-based desk review’.

He questioned the rationale behind paying for desk reviews of facilities that have already been inspected, labeling it as a "monumental injustice."

According to him, this punitive fee structure has created an unhealthy market that favours monopolies and leaves Nigerians vulnerable to inflated prices.

He stated, “This is no longer regulation; it is revenue generation at the cost of public health.”

He also pointed to prolonged registration timelines for new drugs and NAFDAC’s proposed Track and Trace policy, which would require complete repackaging of existing drug products, as further contributors to the crisis.

“Implementing the Track and Trace system would increase drug prices by another 70 per cent to 85 per cent. This is suicidal in a country where patients are already struggling to access basic medicines,” he warned.

Babayemi accused NAFDAC of being overly concerned with impressing foreign institutions like the World Health Organisation, rather than focusing on making drugs affordable and accessible for Nigerians.

“India, which supplies over 50 per cent of Nigeria’s drugs, is on WHO’s ML1 status. Nigeria, still largely import-dependent, is on ML3. Instead of fixing our local systems, NAFDAC wants to align with international benchmarks that don’t suit our realities,” he added.

The PSN Lagos Chair called on President Tinubu to urgently review the policy and constitute a Presidential Committee on the Pharmaceutical Sector to be led by a registered pharmacist.

He argued that no meaningful reform in drug distribution and pricing can be achieved under the current health leadership structure.

“A physician cannot successfully administer the pharmaceutical sector. Pharmacists must lead drug policy if we are truly serious about lowering costs,” he stated.

While commending some of the government’s intentions, Babayemi insisted that without structural reform in policy enforcement and regulation, the price of drugs would continue to spiral out of control, endangering the lives of millions.