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Turkey Pharmaceutical and Medical Device Market Worth $21.5B & $3.3B by 2020 Respectively, Says a Report Available at MarketOptimizer.org
Date:8/1/2014

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  • Government initiatives
  • The available infrastructure for healthcare industries and the high number of healthcare institutions makes Turkey an attractive location for the manufacture and marketing of pharmaceutical products. Medical tourism is another driving factor of the pharmaceutical industry. In 2012, Turkey received 270,000 foreign patients. Services for medical tourism are primarily provided by private hospitals, and the government provides tax exemptions for private hospitals, to encourage medical tourism (MoH, 2012c).

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    The government is also trying to increase pharmaceutical R&D. In 2012, it introduced a new investment incentives program, which has four basic schemes for increasing foreign investment. There are 150 R&D centers in Turkey, and in April 2013 Dupont opened its 11th innovation center (ISPAT, 2013a).

    The price of medicine is very low, compared with other EU countries (AiFD, 2007). Turkey uses a reference pricing system in combination with discounts for the sale of its pharmaceuticals. In 2009, to curb changes in the price of medicine, the government fixed the euro to the lira conversion rate (Bilmen, 2014). These factors greatly reduce the profit margin for pharmaceutical companies, making pricing a major challenge for the growth of the pharmaceutical market. In addition, the use of generics is high: in 2012, 53% of the drugs consumed were generics (MoH, 2012). The usage of generics is expected to grow and thus mitigate the growth of the market.

    There is a large market for medical devices due to the growing elderly population and subsequent increase in demand for healthcare products and services. The medical device mark
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