The cost of drugs in Nigeria has increased by 300% in the past year, according to the Pharmaceutical Manufacturing Group of the Manufacturers Association of Nigeria (PMGMAN).

The group attributed the rise in prices to the challenges of foreign exchange, and the high cost of production.

PMGMAN Chairman Oluwatosin Jolayemi said that pharmaceutical companies have difficulties accessing foreign exchange, which is needed to import raw materials and other inputs. He said that this has led to a sharp increase in the cost of production, which has been passed on to consumers in the form of higher prices.

Jolayemi also said that the high cost of energy has also contributed to the rise in drug prices. He said that the cost of electricity and gas have increased significantly in recent years, and this has made it more expensive for pharmaceutical companies to operate.

“Most pharmaceutical products have increased by 300 per cent because of the forex. We do not have the petrochemical industry and we do not have the Active Pharmaceutical Ingredient industry. For the API industry to survive, we need a petrochemical industry. The API cannot be easily achieved in Nigeria if we do not have the petrochemical industry because the API inputs that we will need to manufacture are still going to be imported and you still need forex, so forex is a major issue that is increasing the cost of drugs in the country.

“Most pharmaceutical companies, even before now have not been able to access forex in the banks so they have to access forex by export proceeds or parallel market, so the cost of goods will go up. The cost of production is going up, the cost of power is going up by 40 per cent,” Jolayemi said in an interview.

The increase in drug prices has been a major concern for many Nigerian consumers, many of whom are already struggling to afford basic necessities.