
ADDIS ABABA – The Ministry of Health (MoH) has established the Local Pharmaceutical Industry Development Forum (LoPID) to accelerate the growth of the local medicine and medical devices manufacturing industries in Ethiopia.
LoPID, chaired by the MoH, comprises 13 government institutions and 11 non-governmental organizations as members.
Speaking at the inaugural session yesterday, MoH State Minister Firehiwot Abebe stated that, guided by a 10-Year Strategic Plan, the government has been aligning policies and regulations to foster the development of the local pharmaceutical industry in accordance with the African Union’s 2063 agenda.
She further emphasized that a wide range of interventions, including capacity building and research-based activities, have been implemented to stimulate the local pharmaceutical sector.
While over 90% of medical devices have been imported in the past, the government’s commitment and the efforts of local manufacturers have resulted in a significant increase in local production capacity, from a mere 8% to 36% within a year.
Firehiwot noted that enabling policies, incentive packages, and investment promotions, particularly at the Kilinto Industrial Park, are being implemented to enhance production capacity. “The recent macroeconomic reforms, coupled with revised regulations, have significantly improved the ability to address potential foreign exchange shortages and other bottlenecks in the sector,” she added.
This forum is expected to address challenges through coordinated efforts, enhance the regulatory ecosystem, leverage procurement strategies, incentivize local production, and effectively manage potential investors.
According to the 2023 Manufacturing Africa report, she stated that approximately 1.6 trillion USD, 26 billion USD, and 1.6 million USD are invested annually globally, in Africa, and in Ethiopia, respectively, in medicine and medical equipment.
During the event, stakeholders emphasized the need for establishing viable regulatory frameworks, providing hands-on training to develop expertise, fostering sustainable innovations and research, developing human resources, and improving overall efficiency to ensure the availability of accessible, affordable, and efficacious medical supplies.
Recognizing the favorable conditions and significant potential of the country in the industry, she highlighted the need for ongoing promotional activities to attract foreign investors and fully leverage the sector through tailored partnerships, supportive policies, and technical and financial assistance to nurture a vibrant and competitive pharmaceutical sector.
BY ASHENAFI ANIMUT
THE ETHIOPIAN HERALD SATURDAY 25 JANUARY 2025