The Federal Government of Nigeria has instructed the Nigeria Customs Service (NCS) to implement a two-year exemption on import duty and Value Added Tax (VAT) for key pharmaceutical raw materials.
The move is part of efforts to support local pharmaceutical manufacturing and reduce healthcare costs.
According to the NCS National Public Relations Officer, Abdullahi Maiwada, the tax exemption applies to Active Pharmaceutical Ingredients (APIs), excipients, and other essential raw materials used in producing medicines, Long-Lasting Insecticidal Nets (LLINs), Rapid Diagnostic Kits, reagents, and packaging materials.
The move is in line with the presidential directives to enhance local healthcare manufacturing, reduce production costs, and attract investments. The guidelines were approved by Tinubu through the Minister of Finance and Coordinating Minister of the Economy, Wale Edun.
“In commitment to transparency and effective monitoring, the NCS will compile quarterly reports detailing all importations under this policy, including data on importers, quantities, and values of the imported items, ensuring the policy’s implementation aligns with its intended objectives," Maiwada stated .
“The Nigeria Customs Service remains committed to supporting government policies while fulfilling its mandate to facilitate trade, enhance border security, and drive national development.”
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