Philippines. Pharmaceutical market outlook 2016

Philippines pharmaceutical market projected a high single digit CAGR in US dollars terms in the period 2011 to 2016, and it will be the ninth largest pharmaceutical market in the Asia Pacific region by 2016.

The Philippines has some of the highest drug prices in the world. The controversial Cheaper Medicine Act has impacted the Philippines pharmaceutical market in a number of areas, including IP laws, competition and drug price control mechanisms. Since the Act’s implementation, a considerable number of drugs have seen  price reductions by up to a half. The immediate term will be the most volatile, as the government battles with the international pharmaceutical industry for ground in the market, which up until recently experienced a free-market policy with no price regulations in place.

The Philippines is heavily reliant on imports of finished medicaments, and exports little in way of pharmaceuticals, therefore the deficit in the balance of trade is likely to increase during the forecast period. The Philippines OTC sector is dominated by three Filipino pharmaceutical companies that control over half of this sector. The Philippines generic sector is being actively backed by the government and is led by  UniLab.

Source: TECTURA