Pharmacy News EU

Dublin – Research and Markets has announced the addition of Frost & Sullivan’s new report "Global Pharma-Biotech Alliance Analysis" to their offering.
This Frost & Sullivan research service titled Global Pharma-Biotech Alliance Analysis provides a detailed analysis of the trends, opportunities, and unmet needs in the decision to enter emerging markets by pharmaceutical companies. In this research, Frost & Sullivan’s expert analysts thoroughly examine the following regions: Brazil, Russia, India, and China.
Market Overview
Pharmaceutical Companies Burdened with High Drug Development Costs Seek Opportunities in Lucrative Emerging Markets
The escalating cost of drug development is driving pharmaceutical companies to tap emerging markets in order to successfully expand and sell their products. Emerging markets are considered lucrative due to their economical infrastructure and labour costs and a significant untapped market potential with a large population. Furthermore, healthcare reform programmes in emerging markets have dramatically improved the level of healthcare coverage in these countries. With companies focusing on emerging markets, they would need to address the varying medical requirements of each of these markets, says the analyst of this research. Therefore, there will be an overall shift in the pharmaceutical industry from a very western centric model to a global one. Disease areas that were once considered niche are now given priority and the more prevalent disease therapeutic areas in the mature markets have taken a backseat. Vaccines, biologics, over the counter (OTC) candidates, and generics are the principal revenue generators in the emerging markets.
However, weak intellectual property (IP) laws, escalating drug costs, and low reimbursement rates for drugs plague the current healthcare system in China. Implementation of the proposed new plan to invest in emerging economies will go a long way in attracting financial investments from pharmaceutical companies across the globe as the plan intends to pass stringent IP laws and provide healthcare coverage to all. This will create a huge market potential that the pharmaceutical companies can capitalise. One of the main drawbacks of the Indian pharmaceutical industry is weak IP laws and policies, explains the analyst. The new Indian patent code has addressed that and several other issues, yet there remains a clause that disallows patents for treatments that are not more efficacious than those already available.
Although the emerging markets have several restraints, it does not stop the big pharmaceutical companies from investing in countries like India and China, which offer greater advantages such as intellectual talent pool, cheap land and labour, and investor-friendly governments. These companies need to re-evaluate their priorities and develop customised strategies that are suitable for the emerging markets, concludes the analyst.
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