JSI RESEARCH & TRAINING INSTITUTE, INC
Reducing Procurement Lead Times with Streamlined Importation Processes in Nigeria The Partnership for Supply Chain Management (PFSCM) has expedited the importation of health supplies in Nigeria using simple tools.
2024 · 3 pages

Abstract
In humanitarian and emergency settings, health supply networks and processes frequently become complex once a shipment arrives at the port of entry. Unregistered products, inadequate documentation, and sudden changes in government regulations can cause inefficiencies and bottlenecks, delaying importation processes and increasing procurement lead times. PFSCM is a procurement services agent that has provided logistics services for global health programs, often in fragile settings, for over 15 years. With a standardized governance framework to measure and manage the performance of freight forwarders, PFSCM oversees the entire transportation process for pharmaceuticals and other health supplies. In 2020, the Nigerian government implemented two online systems: the import duty exemption certificate (IDEC) system and the license system for approval to import products, issued by the National Agency for Food and Drug Administration and Control (NAFDAC). Prior to IDEC, the process lacked transparency and involved bureaucratic processes that usually lasted between 60 to 180 days. PFSCM helped streamline importation processes in Nigeria by applying three simple supply chain management tools: a process mapping exercise, a checklist, and an online tracker of all paperwork, including exemption certificates, needed to import health commodities. Based on these tools, PFSCM developed country-specific shipping instructions to guide the importation process. In Nigeria, exemption certificates are required before goods can be shipped. They are valid for one year and issued per grant across multiple PSAs. An exemption certificate covers a specific quantity and value of health products, which is automatically approved under that certificate. The process mapping exercise and online tracker ensured that all documents required for shipping were in order and double-checked for accuracy. PFSCM established a cloud repository and checklist to collect and track all importation and shipping documents, while country counterpart staff learned to manage the new IDEC approval process and NAFDAC e-registration system. The checklist enhanced transparency and efficiency, and systematically documenting and verifying each step of the shipping and clearance process minimized errors and reduced the chances of delays caused by missing or incomplete documentation. Key lessons learned from PFSCM's experience in Nigeria include the importance of extensive planning, accurate and complete data, and a good understanding of importation processes, including licenses, permits, and exemption certificate requirements. Organizations should also use electronic exemption certificate applications and automation, which improve digitization and accelerate business processes. Additionally, building relationships with all parties involved in the importation process is crucial to ensure communication and collaboration.
Connected topics
Classification
USAID DEC