East Africa Pharmaceuticals and Healthcare Report Q4 2012

Business Monitor International
September 26, 2012
100 Pages - SKU: BMI4880561
Countries covered: Africa

In BMI’s Q412 Risk/Reward Rating Matrix, the MEA region scores an average of 44.2, down slightlyfrom 44.5 in Q312. The score continues to rank the MEA region as the least attractive of the five regionssurveyed globally from a multinational involvement perspective.

Oman’s RRR score, which provides an indication of the relative attractiveness of the pharmaceuticalmarket, has been unchanged from Q312 to Q412 at 50.2 out of 100. As a result of Jordan’s score drop,Oman shifted up one position from 10th to ninth in the matrix. Oman has limited longer-term commercialpotential, on account of its small population and the fact that the government is responsible for the bulk ofhealthcare costs, which will increase the need for cost containment in the coming years. On a positivenote, the country’s operating risks are relatively low. Globally, Oman is 51st out of 95 markets surveyed.

Regionally, the better-regulated markets of the GCC – the UAE, Saudi Arabia, Kuwait, Bahrain, Omanand Qatar – South Africa and Israel will remain the most rewarding and least risky for drugmakers.However, these markets are rapidly approaching maturity and are expected to grow only in the mid-tohighsingle digits. As pharmaceutical companies look to enter markets with higher potential, they shouldturn their attention first to the Gulf Levant and then North Africa, where population demographics, theregulatory framework and macroeconomic factors will facilitate growth.

Sub-Saharan African countries are the final frontier in terms of investment because the risks in thesecountries are higher and at present the rewards are lower. However, their appeal lies in the long term, andthe companies that establish their brands sooner rather than later will benefit most. Generally speaking,BMI has preferred the Southern African region over East Africa, followed in preference by West andCentral Africa. We believe West and Central Africa has higher rewards and East Africa has fewer risks.

However, Africa is not homogenous and there are exceptions within regions that stand out and deserveparticular mention, such as Ghana, on which we are bullish, and Zimbabwe, on which we are lessconfident. BMI expects the countries that drugmakers choose to enter will continue to be decided alongex-colonial lines, as language and contacts are often barriers to market entry. These barriers can bebroken down by trade envoys, embassies and ambassadors that can facilitate business in SSA, but it is upto multinational drugmakers to contact them and express an interest.



More Prescription Drugs reports by Business Monitor International

Tanzania Pharmaceuticals and Healthcare Report Q2 2015 by Business Monitor International
Tanzania Pharmaceuticals and Healthcare Report Q2 2015BMI View: Tanzania's pharmaceutical market will continue to see growth with the continuing expansion ofthe country's National Health Insurance ...
Singapore Pharmaceuticals and Healthcare Report Q2 2015 by Business Monitor International
Singapore Pharmaceuticals and Healthcare Report Q2 2015BMI View: Singapore will remain a highly attractive manufacturing base for international pharmaceuticalcompanies due to minimal levels of operational ...
Poland Pharmaceuticals and Healthcare Report Q2 2015 by Business Monitor International
Poland Pharmaceuticals and Healthcare Report Q2 2015BMI View: The Polish pharmaceutical market is heavily dependent on public healthcare spending; anynegative economic developments will have an ...
Peru Pharmaceuticals and Healthcare Report Q2 2015 by Business Monitor International
Peru Pharmaceuticals and Healthcare Report Q2 2015BMI View: Longstanding trade agreements with the US and EU, along with efficient regulations for qualitycontrol will continue to ...
See all reports like this >>

More Africa Prescription Drugs reports

Tanzania Pharmaceuticals and Healthcare Report Q2 2015 by Business Monitor International
Tanzania Pharmaceuticals and Healthcare Report Q2 2015BMI View: Tanzania's pharmaceutical market will continue to see growth with the continuing expansion ofthe country's National Health Insurance ...
Mozambique Pharmaceuticals and Healthcare Report Q2 2015 by Business Monitor International
Mozambique Pharmaceuticals and Healthcare Report Q2 2015BMI View: Mozambique's agricultural industry and natural resources contribute to its rapidly expandingeconomy, which will allow the Mozambican government ...
Mauritius Pharmaceuticals and Healthcare Report Q1 2015 by Business Monitor International
Mauritius Pharmaceuticals and Healthcare Report Q1 2015BMI View: With high per-capita pharmaceutical expenditure and a stong governmental interest inpharmaceutical development, combined with a rising demand ...
Gabon Pharmaceuticals and Healthcare Report Q2 2015 by Business Monitor International
Gabon Pharmaceuticals and Healthcare Report Q2 2015BMI View: Spending on pharmaceuticals in Gabon will be driven by the continued development of thecountry's National Health Insurance ...
See all reports like this >>

More Africa reports

D&B Country Report: Cote d'Ivoire by Dun & Bradstreet Inc.
D&B Country Report. Comprehensive information for evaluating risks and opportunities when trading or investing in this country. Providing critical information and analysis on ...
D&B Country Report: Libya by Dun & Bradstreet Inc.
D&B Country Report. Comprehensive information for evaluating risks and opportunities when trading or investing in this country. Providing critical information and analysis on ...
D&B Country Report: Malawi by Dun & Bradstreet Inc.
D&B Country Report. Comprehensive information for evaluating risks and opportunities when trading or investing in this country. Providing critical information and analysis on ...
D&B Country Report: Ghana by Dun & Bradstreet Inc.
D&B Country Report. Comprehensive information for evaluating risks and opportunities when trading or investing in this country. Providing critical information and analysis on ...
See all reports like this >>

 

SELECT A LICENSE

    Report with 3 quarterly updates  USD 1,175  
 
US: 800.298.5699
Int'l: +1.240.747.3093
 

Share this report


    Other tasks

     
     
    Join Alert Me now!
    Receive bi-weekly email alerts on new market research

    Sign up today!