Ethiopia Now Produces 40% of Domestic Medicine Demand

By Mintesinot Nigussie
Published on 02/05/26

Ethiopia now produces more than 40 percent of the medicines used domestically, Sheger Radio reports.

The Ministry of Health said that within the next five years, domestic output could cover more than 60 percent of the country’s medicine demand.

Historically, Ethiopia’s pharmaceutical sector has relied heavily on imports, with local manufacturers accounting for just 8 to 10 percent of total supply, according to the Ministry of Health’s Emergency Medical Supplies and Pharmaceuticals Division, led by Ato Mohammed Aman. Sheger Radio notes that the shift toward local production reflects growing government support and strategic investments in the sector.

Currently, twelve public and private factories supply roughly 40 percent of Ethiopia’s medicine demand. These manufacturers have been granted special procurement opportunities and market guarantees of up to seven years to encourage production and investment. They have also benefited from exemptions from certain fees, designed to strengthen their capacity and ensure a more stable supply of essential medicines.

Mohammed Aman told Sheger Radio that just four years ago, even basic medical items such as masks and alcohol were almost entirely imported. Today, most essential medicines and medical supplies are produced locally, a development expected to further increase domestic production over the next five years.

The Ministry of Health said that rising local output, combined with growing demand from healthcare facilities, is creating a more reliable and predictable market for Ethiopia’s pharmaceutical industry. These developments are attracting new investors and helping expand the range and quality of medicines produced in the country.

Officials highlighted that the COVID-19 pandemic exposed vulnerabilities in the supply chain, from sanitizers to respiratory equipment, prompting urgent support for local manufacturers.