Kwesi Ofori Antwi, Team leader, Strategic Anchor Industries at the Ministry of Trade and Industries, has described Ghana’s Pharmaceutical Industry as the new growth pole for industrial transformation.
Mr Antwi revealed that the pharmaceutical industry is crucial to the economy of the country. He expressed that the pharmaceutical sector is one of the industries under the country’s national AfCFTA policy framework being developed.
Speaking on behalf of the Deputy Minister of Trade and Industry, Micheal Okyere Baafi, Mr Antwi noted that government, as part of its effort to ensure the growth of the pharmaceutical industry in the country has put certain measures in place to achieve its target.
“The Pharmaceutical Industry is one of government’s strategic anchor industries being developed as the new growth poles for industrial transformation… In view of this, the government is embarking on the following initiatives, among others, create enabling environment for the attraction of the needed investment into the industry”.
Kwesi Ofori Antwi
Mr Antwi outlined that, government, through initiatives such as the One District One Factory, is providing some support measures. He opined that government has instituted a waiver of import duties and levies of imported plant, machinery and equipment as well as raw materials. Additionally, he noted that businesses under the initiative will enjoy “five-year corporate tax holiday” and interest subsidies for loans granted to only Ghanaian-owned businesses.
“Under the GhanaCares Obaatanpa program, a post COVID-19 measure to support the revitalisation of industries, the following are being undertaken: Upgrading of manufacturing companies to achieve the WHO good manufacturing standard, provision of management and technical assistance to enhance operational efficiency of selected tier two pharmaceutical companies”.
Kwesi Ofori Antwi
The Team leader of the Strategic Anchor Industries at the Trades Ministry recounted that during the height of the pandemic, all economies were looking to the Pharmaceutical Industry to develop products to curb the ravaging COVID-19 virus. The industry, he explained, during the period, had to diversify its operation into producing among others, sanitizers and other pharma products that could help reduce the effect of the virus on human lives.
“In Ghana, the effect of the pandemic could not be underestimated as it led to the disruption of the supply chains for the various sectors of our economy including the pharmaceutical industry which relies mainly on the importation of active pharmaceutical ingredients for the production of pharmaceutical products”.
Kwesi Ofori Antwi
He made these revelations at the CalBank Plc leadership conversation series on AfCFTA, on the theme: ‘AfCFTA and the Post COVID Era; the growth of the pharmaceutical sector in Ghana’.
Boosting Ghana’s Pharmaceutical Industry
On his part, the Technical Advisor to the Secretary General of AfCFTA, Prudence Sebahizi, speaking on behalf of the Secretary General of AfCFTA, Wamkele Mene, revealed that the Pharma industry, is one of the priority and key industries that has been identified on the continent. He underscored that the sector has become “critical” given the circumstances with the COVID-19 pandemic.
Mr Sebahizi noted that the pandemic highlighted “Africa’s vulnerability” due to its reliance on imports for most vaccines, medicines and other health products. He disclosed that in Ghana, more than 70% of the country’s pharma products are imported.
The Technical Advisor to the Secretary General of AfCFTA emphasized that according to a recent study by United Nations Economic Commission for Africa (UNECA), it indicated that Africa imports about 94% of pharmaceutical and medicinal needs outside the continent and this can costs the continent up to $16 billion. He noted that although that is seemingly the reality in Africa,there is an opportunity to invest in the sector.
“In Ghana, the data shows that about 70% of pharmaceutical demands is made by impulse, mostly from India [and] China, with a local production accounting for the remaining 30%”.
Prudence Sebahizi
Mr Sebahizi revealed that this reliance places Africa in unsafe position to access essential medical supplies. That notwithstanding, he explained that, there is currently wide recognition that developing a robust local pharmaceutical industry will, among other things, support local economies and create jobs.
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