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In this study, the technical efficiency of the Chemical and Pharmaceutical manufacturing firms in Nigeria was estimated by using a stochastic frontier production function, incorporating the technical inefficiency effect model. The translog frontier model was found to be an adequate representation of the data, given the specification of the corresponding Cobb Douglas production function. The technical inefficiency effects were found present and contained a significant random element. Results from the translog regression showed a sigma square (σ2) of 1.975 which was statistically significant at 1 percent. The technical efficiency scores in the Chemical and Pharmaceuticals sector ranged from 0.012 to 0.82 with a mean of 0.488. The individual impacts of some of the variables in the inefficiency effect model were significant, also the combined influence of all the five variables was significant in reducing the inefficiency of the Chemical and Pharmaceutical manufacturing firms in Nigeria. The results also indicated that the industries were operating at increasing returns to scale. Amongst others, utilisation of enhanced inputs and improved technology by manufacturing firms was recommended, to enable the firms to attain the optimal production frontier.