Hertta-Maria Amutenja
A group of Namibians living with chronic conditions is calling on the government to remove Value Added Tax (VAT) and import duties on essential medication.
Group spokesperson Stephen Bellesini said the appeal comes from personal experience of paying out of pocket for chronic medication not available in public hospitals.
“State pharmacies only stock items listed on the Namibia Essential Medicines List (NEMLIST), which excludes many specialised or newer treatments required for chronic conditions. That leaves responsible citizens no choice but to turn to private pharmacies, where they face not just the full price of the medicine but layers of VAT and import duties as well,” he said.
Bellesini said patients pay more because of taxes added at different stages of the supply chain, from manufacturers and distributors to pharmacies.
“By the time the patient receives the medicine, they are charged 15% VAT on an already inflated amount,” he said.
He proposed a dedicated logistics fund to support chronic care and called on the government to sign direct import agreements with pharmaceutical companies to reduce costs.
The healthcare services may be exempt from Value Added Tax (VAT), but the import and supply of goods related to the industry remain subject to the standard VAT rate of 15%.
According to the VAT Act, services provided within the healthcare industry, such as consultations and treatments, are classified as exempt supplies. However, this exemption does not extend to goods imported or supplied by private medical practitioners, clinics, hospitals, or pharmacies.
Bellesini also urged better oversight of public and private medicine procurement and more transparency in medicine availability outside the NEMLIST.
He said state hospitals provide some medication for free, but often run out of stock. This pushes patients to private pharmacies.
“Many Namibians, especially those in rural areas, do not have medical aid and must pay out of pocket. He said, “In effect, we tax those who take responsibility for their own health.”
Bellesini has not yet received a response from government officials but said several members of the public have shared similar concerns.
In a public statement titled “Taxing the Sick: Why Namibia Must Abolish VAT on Chronic Medication”, a group of rural-based Namibians echoed the call. They cited Article 95 of the Constitution, which obliges the State to promote public welfare and ensure access to health services. They also referred to Namibia’s obligations under the International Covenant on Economic, Social and Cultural Rights (ICESCR).
The statement argues that financial barriers like VAT and import duties on life-saving drugs violate these commitments.
“When the State taxes asthma medication, it’s not taxing a luxury. It’s taxing survival,” it reads.
Efforts to get a comment from the Ministry of Health and Social Services were unsuccessful at the time of publication.