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Reportlinker Adds E7: The Outlook for Pharmaceuticals to 2012
Date:9/21/2010

le for around 8% of world pharmaceutical production. The larger domestic companies are striving to compete in the global market for both generics and original products. The market is dominated by low priced, domestically-produced generics and relatively low per capita expenditure on pharmaceuticals.

INDONESIA

The domestic pharmaceutical manufacturing industry is strong and the country has become an attractive base for many multinational producers to operate. This is largely down to a cheap labour force and generally inexpensive production costs. In March 2009, the government announced the merger between PT Indofarma and PT Kimia, saying the partnership, once materialised, will enable them to control a 15% stake of the market. PT Kimia president Sjamsul Ariffin said feasibility studies and legal processes would take at least six to nine months before the merger can be finalised. IPR protection is generally regarded as inadequate and counterfeiting is a major problem. The country has been placed on the US government's Priority Watch List in 2009.

MEXICO

The current exchange rate of the Mexican peso against the US dollar is causing uncertainty, with increasing pharmaceutical import costs. This is expected to affect previously registered import levels. The overall pharmacy sector is facing stagnation, if not negative growth, in 2009. Pfizer's acquisition of Wyeth and the merger of Merck Sharp & Dohme and Schering Plough will change the sector, with sanofi-aventis being pushed down. On a positive note, the downturn and an evolving regulatory environment are fuelling generics consumption. This market is expected to double in size in 2010. The latest foreign company to enter the generic market is Valeant which acquired a local producer in July 2009; sanofi-aventis acquired a local producer in early 2009. The local company Genomma Lab launched its generic product portfolio in August 2009.

RUSSIA

In population terms, Russia is a
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