By Peace Udugba -The Daily Torch Media
An economic and regulatory affairs analyst, Mr Joel Alalade, has warned that the proposed amendment to the National Agency for Food and Drug Administration and Control (NAFDAC) Act could create regulatory overlaps, increase compliance costs for businesses and undermine Nigeria’s ease of doing business environment.
Alalade raised the concern while reacting to the recent public hearing on Senate Bill 952 (SB 952) at the National Assembly, describing aspects of the proposed legislation as a potential source of regulatory confusion, institutional disorder and policy complications.
He acknowledged the importance of strengthening regulatory institutions to protect public health and consumer safety but maintained that legislative reforms should promote clarity, efficiency and coordination among government agencies rather than create overlapping responsibilities.
According to him, empowering multiple agencies to perform similar functions could increase the cost of compliance, create uncertainty for businesses and complicate regulatory enforcement.
“The objective of regulation should be to provide certainty and confidence for businesses, investors and consumers. However, where multiple agencies are empowered to perform similar functions, the result can be regulatory confusion, increased cost of compliance and uncertainty for operators,” he said.
Examining the proposed amendment, Alalade identified possible overlaps in provisions relating to tobacco product control, enforcement and monitoring.
He argued that Nigeria already has established tobacco control legislation and institutions responsible for implementing tobacco-related regulations, warning that introducing additional layers of authority without clearly defined boundaries could result in duplication and weaken regulatory effectiveness.
He stressed that effective regulation depends not on the number of agencies involved but on clearly defined responsibilities and efficient implementation.
“The number of agencies involved does not determine effective regulation, but rather how clearly responsibilities are defined and how efficiently those responsibilities are implemented. Duplication of regulatory roles can slow decision-making, increase administrative complexity and create uncertainty for businesses operating within the legal framework,” he stated.
The analyst further warned that regulatory uncertainty could have wider economic implications, particularly as Nigeria seeks to attract investments, expand local manufacturing and strengthen its competitiveness as a business destination.
According to him, investors need predictable regulatory frameworks to make informed decisions, plan production and sustain long-term business operations.
“When businesses are uncertain about which agency has final authority or when compliance obligations overlap, it can affect investment decisions, production planning and long-term business confidence,” he explained.
Alalade called on lawmakers to ensure that the proposed reforms reflect international best practices, where regulatory agencies operate within clearly defined mandates while collaborating to achieve common public policy objectives.
He maintained that public health protection and economic growth should complement each other, urging policymakers to establish regulations that safeguard citizens without creating unnecessary barriers to legitimate business activities.
“Public health protection and economic growth are not mutually exclusive. The challenge is to create regulations that protect citizens while maintaining a transparent, coordinated and investment-friendly environment,” he added.
The analyst also called for broader stakeholder consultations before the bill is passed, urging lawmakers to carefully examine its economic, regulatory and institutional implications.
He said the National Assembly must ensure that the proposed legislation strengthens Nigeria’s regulatory framework rather than introduces complications that could affect businesses and investors.
“The National Assembly has an important responsibility to ensure that new legislation strengthens Nigeria’s regulatory architecture rather than complicates it. A law designed to improve oversight must not unintentionally create confusion, duplication or barriers to legitimate business activities,” he concluded.
The proposed Food, Medical Products and Other Regulated Products Act 2026 (Senate Bill 952) has passed its second reading at the National Assembly and was referred to the Senate Committee on Health, chaired by Senator Banigo, for further scrutiny.
