That changes everything—government backing for local makers
In Lagos, a gathering of international health leaders and Nigerian manufacturers posed a question that echoes across the continent: what separates potential from power? Nigeria possesses the technical capacity to produce world-class diagnostics, yet structural disadvantages and absent procurement policy keep that capacity from flowering into regional leadership. The visit to Codix Bio was less an inspection than an invitation — a reminder that Uganda's example, supplying diagnostics to more than twenty nations on the strength of government commitment, is a path Nigeria has not yet chosen to walk.
- Nigeria's diagnostic manufacturers meet international quality standards yet compete on a field tilted against them by high borrowing costs, imported raw materials, and crumbling infrastructure that foreign rivals never face.
- Fragmented procurement systems and unpredictable demand leave factories running below capacity, driving up unit costs and deterring the long-term investment the sector desperately needs.
- International partners from Roll Back Malaria, UNITAID, and PATH arrived at Codix Bio not merely to observe but to press a case: regional manufacturing is a continental health security issue, not a local commercial one.
- Uganda's model — government-backed manufacturers exporting to over twenty countries — stands as living proof that policy commitment transforms ambition into supply chain resilience.
- The proposed remedy is concrete: ring-fenced government procurement quotas that guarantee a share of health spending for locally made diagnostics, creating the predictable demand manufacturers need to plan, invest, and scale.
A delegation of executives from Roll Back Malaria, UNITAID, PATH, and Solina traveled to Codix Bio, one of Nigeria's foremost makers of rapid diagnostic tests, carrying a pointed message: the manufacturing skill is already here — what is missing is the government's willingness to stand behind it.
Dr. Adekunle Charles of Roll Back Malaria pointed to Uganda as the standard to meet. Ugandan diagnostic manufacturers export to more than twenty countries, not because of superior technology, but because their government provides consistent backing. That backing, Charles argued, changes everything. UNITAID's Janet Grinard reinforced the strategic dimension: African healthcare systems become more resilient when they manufacture regionally, but resilience demands predictability — long-term volume guarantees, pooled procurement, and markets manufacturers can count on.
Sammy Ogunjimi, chief executive of Codex Group, understands the gap between potential and reality in precise terms. His company operates across twelve African countries and has used Global Fund support to supply locally packaged HIV diagnostics to Nigeria, Ghana, and Sierra Leone. Yet the structural disadvantages persist: local borrowing rates that imported competitors never face, raw material costs tied to foreign supply chains, and infrastructure deficits that add expense at every stage — all while Codix meets the same international quality standards as any imported product.
The remedy Ogunjimi advocates is straightforward: ring-fenced procurement quotas reserving a guaranteed portion of government health spending for locally manufactured diagnostics. Predictable demand would allow manufacturers to plan investments, reduce unit costs, and scale operations in ways that could serve the entire continent.
The delegation departed with a shared conviction — that resilient healthcare supply chains require governments, international partners, and manufacturers to act together. But the decisive lever remains government procurement policy. Without it, Nigeria's manufacturing capacity stays latent. With it, the country could follow Uganda's path and become a continental exporter of essential health products, turning potential into enduring regional strength.
A delegation of international health leaders visited Codix Bio, one of Nigeria's largest makers of rapid diagnostic tests, with a straightforward message: the country has the manufacturing skill to lead Africa in diagnostics, but it needs its government to act like it believes that.
The visitors—executives from Roll Back Malaria, UNITAID, PATH, and Solina—came to see what Nigeria could become. What they saw was potential constrained by policy. Dr. Adekunle Charles, chief executive of Roll Back Malaria, put it plainly: Uganda's diagnostic manufacturers don't just serve their home market. They export to more than twenty countries. They do this because their government backs them. "That changes everything," Charles said. The question now is whether Nigeria will do the same for Codix Bio and others like it.
The case for action is economic and strategic. Janet Grinard, UNITAID's director of strategy, framed it as a matter of health security. Regional manufacturing, she argued, makes African healthcare systems more resilient. Nigeria, as a manufacturing hub, is strategically important. But resilience requires predictability. Manufacturers need to know demand will be there. They need long-term volume guarantees. They need pooled procurement across countries. Without these, factories sit half-empty, costs stay high, and investment stays away. "Our work focuses on creating stronger, more predictable markets that enable manufacturers to invest confidently," Grinard said. The obstacles are real: fragmented procurement systems, inconsistent demand, financing constraints. These are not problems manufacturers can solve alone.
Codex Group's chief executive, Sammy Ogunjimi, knows the obstacles intimately. His company now operates in twelve African countries and exports to several of them. Global Fund support has allowed Codix to supply locally packaged HIV diagnostics to Nigeria, Ghana, and Sierra Leone. These are genuine achievements in a difficult environment. But the environment remains difficult because the structural disadvantages are steep. Local manufacturers borrow money at rates that imported competitors don't face. They import raw materials at costs their foreign counterparts don't pay. Infrastructure deficits add expense at every step. Regulatory requirements keep shifting. All of this happens while Codix meets international quality standards—the same standards as any imported product. Yet they compete on an uneven field. "Local manufacturers compete against imported products produced under significantly lower financing and infrastructure costs," Ogunjimi said.
The solution, in Ogunjimi's view, is direct government action. Ring-fenced procurement quotas—a guaranteed portion of government health spending reserved for locally made diagnostics—would change the math. Consistent local demand would let manufacturers plan, invest, and scale. It would accelerate industrial growth. It would strengthen national health security by reducing dependence on imports. It would also create jobs and build manufacturing capacity that could serve the continent.
The delegation left with agreement on one point: building resilient healthcare supply chains requires collaboration between governments, international partners, and manufacturers themselves. No single actor can do it alone. But government procurement policy is the lever. Without it, Nigeria's manufacturing ambition remains potential rather than power. With it, the country could become what Uganda already is: a continental supplier of essential health products, exporting confidence and capacity across Africa.
Citações Notáveis
Nigeria possesses the manufacturing ambition required to become a continental leader but requires stronger ecosystem support similar to countries such as Uganda.— Dr. Adekunle Charles, CEO of Roll Back Malaria
Local manufacturers compete against imported products produced under significantly lower financing and infrastructure costs.— Sammy Ogunjimi, CEO of Codix Group
A Conversa do Hearth Outra perspectiva sobre a história
Why does Uganda's model matter so much here? What makes their approach different?
Uganda's government treats diagnostic manufacturers as strategic assets, not just businesses. They guarantee demand through procurement. That lets manufacturers plan five years ahead instead of month to month. When you know demand is coming, you invest in equipment, train workers, build supply chains. Uganda's companies export to twenty-plus countries because they had the stability to grow beyond their home market.
And Nigeria has the manufacturing skill but not the policy framework?
Exactly. Codix Bio meets international quality standards. They're already in twelve African countries. But they're doing it despite the system, not because of it. They borrow at rates that make every unit more expensive. They import raw materials at costs their competitors don't face. They're competing with one hand tied.
What would ring-fenced procurement actually do?
It guarantees a portion of government health spending goes to local makers. Suddenly Codix knows: "The government will buy X units of our HIV test this year." That certainty lets them negotiate better raw material prices, invest in machinery, hire skilled workers. Costs come down. Quality improves. They can then export at competitive prices.
Is this protectionism?
It's strategic investment in health security. When you depend entirely on imports, you're vulnerable. A supply chain disruption, a currency crisis, a geopolitical shift—suddenly your country can't diagnose disease. Local manufacturing capacity is insurance. And it's cheaper insurance than emergency imports during a crisis.
What's the risk if Nigeria doesn't act?
Codix and others keep operating at the margins. They don't scale. They don't export more. Meanwhile, Nigeria stays dependent on imports for diagnostics. The manufacturing potential never becomes manufacturing power. And the continent loses a potential supplier.