By Adedapo Adesanya
Danish-Swiss headquartered Vestergaard Sàrl has signed a Memorandum of Understanding (MoU) with the Nigerian government through the Presidential Initiative for Unlocking the Healthcare Value Chain (PVAC) to build a manufacturing hub for insecticide-treated nets (ITNs) to combat Malaria.
The milestone, if achieved, means Nigeria will house the first West African manufacturing hub for insecticide-treated nets in the battle against Malaria. It will also be the first on the continent to produce dual active-ingredient nets to help combat insecticide resistance.
Combatting Malaria has been a top goal of African governments with the continent accounting for almost 95 per cent of the world’s cases and one-quarter of these are in Nigeria.
According to a statement, the MoU will lay the foundation for Vestergaard to establish a joint venture with a local manufacturing partner in Nigeria, potentially supported by MedAccess, a social investor founded by British International Investment, the UK’s development finance institution and impact investor.
The selection of an appropriate partner is currently underway and will be subject to the satisfactory conclusion of a due diligence process, a statement seen by Business Post added.
Vestergaard also said it was discussing opportunities for financing with the United States International Development Finance Corporation (DFC).
If successful, the joint venture will result in a state-of-the-art manufacturing facility that is expected to function as a flagship on ITN quality and bioefficacy performance, as well as industrial health, safety and sustainability practices.
At scale, the planned facility would produce 10 million PermaNet Dual long-lasting insecticidal nets every year, for both domestic use in Nigeria and international export. It would create around 600 jobs in Nigeria.
According to Mr Amar Ali, CEO of Vestergaard, “This partnership exemplifies the leadership and commitment of the Nigerian government in the fight against Malaria. We are very grateful for their engagement and support as we work together with partners to create a cutting-edge facility that will set a global benchmark in the manufacturing of dual-insecticide nets.”
Also speaking on the development, Dr Muhammad Ali Pate, the Minister of Health for Nigeria, said “Increasing access to long-lasting insecticide-treated nets is crucial. We cannot afford to underestimate the power of prevention in our fight against Malaria.
“Collaborative efforts, such as this, are essential to mobilizing the resources and expertise needed to combat malaria effectively.”
On his part, Dr Abdu Mukhtar, National Coordinator of PVAC, said “High standards in local production are non-negotiable. By investing in local bed net production, we are not only improving health outcomes but also paving the way for a self-sufficient healthcare system that can withstand global challenges.
“This partnership with Vestergaard is a significant step towards attaining this for Nigerians and the broader West African population.”
Mr Michael Anderson, CEO of MedAccess, added that “Next generation mosquito nets are powerful tools to save lives and prevent debilitating disease. Regional manufacturing is in turn a critical tool to ensure that the nets are available quickly, reliably, and sustainably.
“This agreement between the Government of Nigeria and Vestergaard underlines an important commitment to protecting people from malaria while strengthening supply chain resilience in the region.
“MedAccess is looking forward to working in partnership to explore how innovative finance can support this initiative.”
Adding his input, Mr Jim Polan, Vice President, Office of Health & Agribusiness at the US International Development Finance Corporation (DFC), noted that “DFC’s investments in regional manufacturing, particularly in Africa, aim to strengthen health system resilience and diversify supply chains.
“We are exploring a variety of opportunities to expand access to critical health products, including bed nets, to ensure the region is better prepared to respond to malaria and other vector-borne transmission due to changing climate patterns.”