By Gwurld4026 
VAT Exemption for Pharmaceutical Raw Materials by FG
The Nigerian Federal Government has announced a two-year exemption from import duties and Value Added Tax (VAT) on raw materials essential for pharmaceutical manufacturing. This initiative, enacted through a presidential executive order, aims to reduce the cost of essential healthcare products and bolster local pharmaceutical production.
Key Details of the Exemption:
- Duration: The exemption is effective for two years.
- Scope: It covers Active Pharmaceutical Ingredients (APIs), excipients, reagents, packaging materials, Long-Lasting Insecticidal Nets (LLINs), and Rapid Diagnostic Kits.
- Eligibility: Only manufacturers recognized by the Federal Ministry of Health and Social Welfare with a valid Tax Identification Number (TIN) are eligible for this incentive.
To ensure transparency and proper implementation, the Nigeria Customs Service (NCS) will compile quarterly reports detailing all importations under this policy, including data on importers, quantities, and values of imported items
This measure aligns with the administration’s commitment to enhancing Nigeria’s healthcare infrastructure by making essential medicines more affordable and supporting local manufacturing.