Eight years ago, Eswatini was on the verge of establishing its first pharmaceutical manufacturing plant near the Royal Science and Technology Park (RSTP) in Nokwane.
The ambitious E100 million project aimed to reduce the country’s dependence on imported medicines — a vision that would have proven invaluable during the COVID-19 pandemic just a few years later.
A Bold Plan That Fizzled Out
The project was born from a collaboration between global pharmaceutical firm Mylan Laboratories of India (now known as Viatris) and local drug supplier Swazipharm, operating under the company Avapharm.
Government hailed it as a major step towards industrialisation and improved access to essential drugs. Preliminary earthworks began after an official sod-turning ceremony in 2017, but the momentum soon faded.
During the launch, then ICT Minister Dumsani Ndlangamandla, representing late former Prime Minister Sibusiso Barnabas Dlamini, described it as a “turning point for the national economy.”
“The country will now be able to produce medicines for Eswatini, the region and the African continent,” he declared at the time.
Mylan’s representative Prashawt Despande also promised training for locals and a state-of-the-art production facility.
A Promising Start That Never Took Off
The plant was formalised under a 2017 Memorandum of Understanding (MoU) signed in India between the late PM and Mylan Laboratories. Construction was expected to start before the end of that year or early 2018.
Fast-forward to 2025 — not a single drug has been produced locally. Instead, government hospitals have battled severe drug shortages over the past three to four years.
Government’s Position
Commerce, Industry and Trade Minister Manqoba Khumalo confirmed that while he found records of the project upon assuming office in 2018, progress had already stalled.
“Earthworks were done on the site marked for construction, but progress ceased. It may be that something went wrong down the line,” he said.
Khumalo noted that the Eswatini Investment and Trade Promotion Authority (EIPA) had listed it as an ongoing investment but nothing materialised.
“To this day, as a country, we still have no pharmaceutical plant. Other companies have shown interest, but make empty promises,” he added.
Avapharm Explains What Went Wrong
Avapharm Director Dave Melvin later provided a clearer picture of the project’s collapse.
He explained that Mylan Laboratories was only a technical partner, while Avapharm handled construction and operations.
“Plans were in the final stages, but then COVID-19 came and delayed the project by about 18 months,” Melvin said.
He added that the delay in passing the Special Economic Zones (SEZs) Act was another major setback. The legislation, which offered tax holidays, duty-free imports and investor incentives, was only enacted in 2018 — too late to maintain investor confidence.
Allegations That Ended Everything
Melvin said the final blow came when allegations of procurement irregularities surfaced involving Swazipharm, Avapharm and other suppliers.
The Auditor General’s office and the Public Accounts Committee (PAC) launched investigations, creating uncertainty in the pharmaceutical sector.
As scrutiny deepened, Mylan Laboratories withdrew from the partnership, effectively ending the project.
Melvin revealed that Avapharm had already spent nearly E10 million on site works, designs, licensing and groundwork.
What Could Have Been
The plant was projected to create at least 35 jobs initially and position Eswatini to manufacture its own essential medicines. Avapharm had also applied for World Health Organisation (WHO) certification, which would have allowed supply to major international health programmes.
“During the pandemic, securing medication became extremely difficult because countries with their own plants prioritised their domestic needs. Eswatini needs to be self-sufficient,” Melvin noted.
The Unfulfilled Vision
Despite the failed project, Eswatini continues to experience medicine shortages and procurement controversies.
The collapse of the Avapharm–Mylan project highlights the nation’s struggle to convert investment promises into real development — hindered by delayed policies, administrative bottlenecks and reputational risks that continue to scare off potential investors.
