TRIUMPH Markets -- Great Potential For Mid-sized OTC- and Pharma Companies

Russia and Ukraine belong to the most promising Emerging Markets worldwide.

Berlin (I-Newswire) January 29, 2013 - Within the next years, the pharmaceutical and OTC market will be still able to offer numerous possibilities for companies and investors which want to establish themselves there with their products. Especially medium-sized companies should look for the possibilities to generate additional market shares and additional profits. Since large investments and therefore risks are connected to the launch in the Emerging Markets, a thorough market analysis is required. To find a good fitting local partner, experienced analysts should be put in the picturein the area of the Emerging Markets.

The Berlin consulting company Chameleon Pharma Consulting has created the acronym of the THRIUMPH markets on the basis of comprehensive studies of the market. As an OTC and Pharma specific variant of BRIC and MIST, the experts of Chameleon Pharma Consulting take into account markets which should also be interesting from different perspectives for the pharmaceutical industry. Various parameters have been decisive by the choice of the TRIUMPH markets:

•Present and future growth potential
•Stage of development of the local health care system
•Relatively uncomplicated market access
•Legal brand and patent aspects
•Regulatory aspects of the product registration

The steadily growing healthcare markets in Russia and Ukraine are particularly attractive. The Russian pharmaceutical market is the eighth largest in the world as for the total turnover, and it ranks a third place with an annual growth of 14-20%. The CIS healthcare market is supposed to double in the next 5-6 years due to a large demand for innovative and high-quality healthcare products. Currently, Russia invests several hundred million Euros in the reform of the health care system. Within the next years, the annual flow should be even bigger – about 15% annually. In 2010, Russia imported medicine and medical products in the value of 6.2 bn. Euros. Although the government would like to speed up the development of the domestic pharma production, it is still assumed that new and innovative products will be further imported in the majority. Russia’s joining of the WTO also opens up new possibilities for foreign companies. The new customs union between Russia, Kazakstan and Belarus will grow the trade and remove the bureaucratic hurdles for western companies.

In Ukraine, the wave of reforms in the health care system is also on its way. Here, the life expectancy is comparatively low, the system is intransparent. The Ukrainian population as well as health experts press for effective steps to improve the present situation. As reported by the Gorschenin institute, 92% of the population in Ukraine require a reform in the health care system. The Ukrainian Pharma market is one of the fastest growing in Europe; primarily high-priced products from the West show a good growth. In Ukraine, till now there is no VAT on medical products, in comparison with e.g. Russia. Experts hope that the introduction of a specific VAT will provide a financial base for the health care system here. With regard to piracy, one can feel oneself rather safe in Russia or Ukraine. Counterfeits, so widespread in China or India, are a seldom case here. The reasons are different, e.g. the Pharma production and R&D are still not on the necessary niveau here. Nevertheless, one should take one’s time and use experts’ advice to assess potential partners correctly.

The TRIUMPH markets include the countries T-urkey, R-ussia, I-ndonesia, U-kraine, M-exico and the Ph-ilippines. Studies and information on other countries are available on the web-page or on demand.