In recent years, there are several factors which causing pharmaceutical industry / companies to shrink their margins. Price and cost pressure, regulatory changes and expiring patents are leading causes for the same. Keeping that in view it was indeed difficult for pharmaceutical companies to sustain growth in the existing market (pharma developed market). Therefore, global pharma companies look for the strategic alternative to sustain the growth.
Pharma emerging market is the latest strategic bet for the success.
What are Pharma Emerging Markets?
List of Pharma Emerging markets include – Brazil, Russia, India, China, Turkey, Poland, Mexico, Chile, Argentina.
BRIC countries (Brazil, Russia, India and China) are recently considered to be the pharma emerging markets as double digit growth found in those countries compared to pharma’s biggest market like US, UK etc. Indeed, IMS Health identified 7 “pharmerging” markets expected to grow to become 12% of the global market. Further pharma emerging countries list expanded as Poland and Turkey also found to be potential market for expansion. China’s drug spending was growing by more than 25%. That market alone was expected to double in size by 2013; all together, those 17 countries were pegged for a $90 billion expansion from 2009 to 2013.
Focusing on high-growth emerging markets could provide a way out of this tough situation. These markets will play a major role in driving the growth of the global pharmaceuticals market in the coming years. While the market for pharmaceutical products will grow on average by 4.5% annually through 2016, growth in emerging market will increase by almost 12%. Especially China, Brazil, India and Russia are experiencing above-average growth. We presume emerging markets will account for nearly 40% of the global pharma market.