The Federal Government has announced a zero Value-Added Tax (VAT) and excise duties policy for pharmaceutical products and medical devices, a move aimed at supporting the growth of local pharmaceutical businesses.
The policy, which was part of an Executive Order signed by President Bola Tinubu in June, is now set for full implementation following the finalisation of its framework.
In a statement on Wednesday, Alaba Balogun, spokesperson for the Federal Ministry of Health and Social Welfare, said the policy will provide tax relief for manufacturers of essential healthcare products, reducing costs and encouraging higher local production.
Read also:
- SMEDAN launches talent hunt for innovators in agriculture, tech & entertainment
- NDE trains 33,692 Nigerians in vocational, business skills
- Insurance loss adjusters urged to seize AfCFTA opportunities for growth
- FG to strengthen cold chain infrastructure to cut post-harvest losses
- Delta’s Oil Palm Initiative unlocks wealth for SMEs, communities
The Ministry expects this tax exemption to lead to a drop in prices of pharmaceutical and medical products, making them more affordable for consumers while boosting the competitiveness of local businesses in the healthcare sector.
This initiative underscores the government’s commitment to strengthening the healthcare value chain and supporting SMEs in the pharmaceutical industry, helping them thrive in a challenging economic environment.
Discover more from SMALL BUSINESS INSIGHTS
Subscribe to get the latest posts to your email.
