The government targets to boost efficiency of production of medicine and medical equipment to 60 percent by 2025.
This was revealed in the Parliament, Dodoma Friday after Singida Urban MP Mussa Sima queried government’s strategies geared to cut down importation of medicine and medical equipment.
Responding to the lawmaker’s question, the Minister of Industry and Trade, Exaud Kigahe said that the government has taken some initiatives to ensure that goal is attained by establishing a National Committee for Pharmaceutical Industry (NPCC) and investment incentives, geared to attract both local and foreign investors.
According to the ministry’s data, out of 14 industries, 12 manufacture medicines while two deals with veterinary. Only one manufactures medical equipment.
It said in order to attract investors to the sector, The government has waived VAT on packaging to drugs produced locally, slashing income tax by 30 percent and a grace period of two years for new pharmaceutical factory projects.
The lawmakers were further informed that still the Ministry of Industry and Trade is monitoring eleven investors who are currently installing pharmaceutical plants in the different parts of the country.