|
|
Latvia Pharmaceuticals and Healthcare Report Q1 2008Published by: Business Monitor International Published: Jan. 22, 2008 - 55 Pages Table of Contents
AbstractAccording to IMS Health, the total Latvian pharmaceutical market grew 30.1% year-on-year (y-o-y),reaching a value of LVL47.26mn (US$90.9mn) in Q107. While the annual growth rate will continue to bein double-digit figures, BMI expects that the market will not replicate such a robust rate over the comingfive years. The key reasons for the more conservative estimates are the broader economic worries and alack of traction on healthcare policy. Even a smooth landing for Latvia’s current boom should see overallgrowth and spending ease markedly by the end of the decade. In addition, the Latvian currency - which ispegged to the euro - is being pressured by strong growth in consumer spending and imports, resulting in ahigh current account deficit.Prescription drugs continue to account for around 70% of spending on medicines, although this figure isforecast to decline to 65% by 2012 due to the increased uptake of OTC products. While hospitals remainmain access point for healthcare, the modernisation of the primary care sector will gradually reduce thenumber of hospital-issued prescriptions. In the meantime, the government will continue promotinggenerics as a means of containing healthcare costs, with the segment forecast to represent some 54% oftotal market value by 2012, up from around 50% in 2007. In the BMI’s adjusted Business Environment Ranking table for the 15 key pharmaceutical markets ofCentral and Eastern Europe (CEE), for Q108 Latvia received the same score as Poland and Slovakia. Thethree countries share the ninth place, with their pharmaceutical rating falling just below the average forthe CEE region. Key limits to potential returns include the country’s small and falling populationnumbers, relatively low per capita income of the population, corruption and limited reimbursementspending. On the other hand, market risks are relatively few, given the high degree of patent protection.In terms of the country’s pharmaceutical landscalpe, multinationals continued to dominate Latvia’sdomestic market, with GlaxoSmithKlein (GSK), Pfizer, Sanofi-Aventis, Berlin Chemie-Menarini andRoche taking the top five spots by sales, according to IMS Health. The country’s second-largest domesticdrugmaker, Olainfarm - which has a strong local market position - posted a strong sales and profitsincrease in 2007. The largest domestic drugmaker - export-oriented Grindeks - announced plans to seeka market authorisation for cardiovascular treatment Mildronate, its top-selling drug. Drugmakers arebenefiting from the buoyant market, but they will be keenly aware that the good times may not last. Get Full Details About This Report >> |
|
|||
|
About MarketResearch.com
|
||||