Drugs hit by falling Naira, prices go up

Amid the worsening value of the Naira, imported pharmaceutical products have been hit by about 20 to 25percent price hike.
*Drug store
WhenSunday Vanguardvisited some pharmaceutical companies in Lagos, it was revealed that the prices of drugs for treating cancer as well as antibiotics for infectious diseases have increased. Aside from the hike in the prices of drugs, the cost of healthcare services, especially in private hospitals, has increased.
While some pharmacists, who spoke toSunday Vanguard, attributed the increase in the prices of drugs to the falling naira in the international market, others emphasised that most of the raw materials needed to produce drugs are imported since they cannot be sourced locally.
A pharmacist in the Paediatric Unit of Lagos State University Teaching Hospital, who spoke on the condition of anonymity, explained that devaluation of the naira has raised the prices of drugs not only in Lagos but in the country generally. He said, “The reason for the sudden increase is because these important drugs are imported and not manufactured locally, as such, we have to pay more money to bring in these drugs. So, the extra cost incurred during importation due to increase in foreign exchange is transferred to the patients”.
On why patients who patronise government hospitals where healthcare services are subsidised are also affected by increase in the prices of drugs, he said, “This is because doctors get the drugs from pharmaceutical companies. In government hospitals, the doctors would examine patients and make appropriate prescription, but the patients would still buy expensive antibiotics from private pharmaceutical firms, because in such hospitals, the patients can only be given multi-vitamins that are not really exorbitant like strong antibiotics.”
He added, “Also, drugs like Hydroxyurea, Cyclophosphamide, Cyclosporin and Methotrexate among others are usually imported into the country and in the process, foreign exchange is needed. Right now only prices of drugs and other surgical pharmaceutical products made in Nigeria are still relatively stable, whereas, the prices for all imported items needed for health services have increased. Another problem is low sales due to the high prices. Our concern is that when the naira eventually stabilises, the prices may not come down again.”
However, during a visit to some pharmaceutical companies within Lagos metropolis, it was also observed that 500mg sachet of Ampiclox, previously sold for N500, now goes for N750, and a sachet of Metformin (500mg), which is used primarily for the treatment and control of excess blood sugar, has increased from about N400 to over N700, depending on the location of the pharmacy.
Also speaking, the Chairman, Toiletries and Cosmetics (T&C) Group of the Manufacturers Association of Nigeria (MAN), Mr. Ikpong Umoh, said that manufacturers of toiletries and cosmetics are facing difficulties due to the continuous depreciation of the naira, calling on government to grant them waivers on the dollar content importation of raw materials that cannot be sourced in the country.
He said, “For the industrial sector to survive, government should give manufacturers rebate and allow us to pay 5percent import duty on raw materials not available in the country. Also, banks should be encouraged to give manufacturers loan with single digit interest rate, instead of 25 per cent, for them to be able to expand their businesses and create jobs”.
He went on, “The scarcity of Premium Motor Spirit (PMS), popularly known as petrol, has added to the challenges we are facing in the sector. Due to the scarcity of fuel, movement of goods now is difficult, rendering services is also challenging. Mobility is generally hampered. Aside from scarcity of the product, few service stations that are opening, are selling for N120 per litre instead of the official pump price of N97 per litre, while others are not selling at all. The situation is affecting us negatively because we waste management time queuing at the petrol stations to buy fuel. Sometimes we spend four to five hours just to get the product. That alone is not helping our work in any way”.
On whether the economy may experience high inflation rate in 2015, as some people are saying, he said, “Inflation has always been there, but the tendency is that it may increase higher than what we are experiencing now, because the cost of doing business in the country now is generally very high, and companies must improve their margin to stay afloat in business”.

Is Only God can save us...

Abi o

Ayusguy wrote:

Is Only God can save us...

nah so bro

No be 2day we knw our country

God is gonna take control

One day CNN will announce that nigeria has been sold. Lolz

Amen

God is gonna take control, all this will soon over.

We hope so

aneke peter chukwujekwu wrote:

One day CNN will announce that nigeria has been sold. Lolz

A very funny joke...

speachet wrote:

aneke peter chukwujekwu wrote:

One day CNN will announce that nigeria has been sold. Lolz

A very funny joke...

nah true o

Truth now

Truth now