Abidjan—As Ivory Coast undergoes significant economic transformation, the pharmaceutical sector finds itself grappling with tax burdens and financial constraints. A recent meeting organized by the Council of the Order of Pharmacists of Côte d’Ivoire highlighted these issues as industry leaders discussed possible solutions.
According to a new release by Africa News Agency, a representative from the Directorate-General of Taxes (DGI), Mr. Bénié, stated that digitalization could broaden the tax base. EDC-ACCES MANAGEMENT, a subsidiary of the ECOBank group, also introduced a stock market-based financial product. It offers pharmacists a traditional savings account, a diversified fund, and a stock fund, promising a growth rate of 5% or more. The pharmacists, for their part, are requesting special treatment in terms of taxation.
The event featured panelists including Ouattara Aboubacar, director of Ficoges and a member of the Confederation Generale des Entreprises de Côte d’Ivoire (CGECI). Aboubacar highlighted the need for a special tax system to counteract illicit medicine trafficking in the West African Economic and Monetary Union (WAEMU) region. Eugène Koffi, director of a drug production laboratory, emphasized that taxation is crucial for the development of a local pharmaceutical industry. According to Koffi, 90% of medicines in Côte d’Ivoire are imported.
Dr. Arouna Diarra, President of the Côte d’Ivoire Order of Pharmacists, stated that tax exemptions are essential for the sector’s growth. Dr. Ouattara Kanigui, on behalf of the National Union of Pharmacists of Côte d’Ivoire, echoed this sentiment, identifying fiscal pressure as a “crucial” issue. The problem of high taxes, according to Dr. Yacine Fofana, hampers investment in scientific research necessary for industrialization.
The issue of taxation will be increasingly pressing as Aboubacar Ouattara disclosed that the government aims to increase tax revenues by FCFA 594 billion by the end of 2024. This initiative comes as part of an economic and financial program signed with donors, which will ramp up the pressure on an already beleaguered pharmaceutical sector.