Market Report Source

Overview

Introduction

Latin American countries have attracted a lot of attention recently. With their economies currently stable, their geographic location and low-cost is ideal for investors. In addition, having such a high and varied population eases recruitment for clinical trials, and the demographics show there is a very high need for pharmaceuticals.

Scope

Overview of the key trends driving the pharmaceutical market growth Analysis of key healthcare system characteristics impacting the pharmaceutical market Analysis of pharmaceutical market dynamics in Argentina and Mexico Overview of key pharmaceutical players in Argentina and Mexico

Highlights

Although both the Argentinean and the Mexican markets have been growing, their growth is attributed to different reasons. The Argentinean pharmaceutical market has been growing mainly based on growing sales volume, while growth of the Mexican market is mainly driven by growing prices. The Mexican market is dominated by foreign companies with few domestic players. The Argentinean market is dominated by domestic branded generics firms, due to the economic crisis which led to many foreign companies to sell their plants in Argentina, thus allowing the domestic firms to gain over their market share. Sales of pharmaceutical categories in both countries are very similar to the West thus opening growth opportunities for foreign companies. However, sales of oncology drugs are low in both countries; and Mexico has higher sales of anti-infective drugs indicating that these markets still have scope for further development and growth.

Reasons to Purchase

Identify the healthcare needs in Argentina and Mexico Understand the barriers and drivers for entering these markets Gain insight into pharmaceutical dynamics of Argentina and Mexico.

Table of Contents

CHAPTER 1 EXECUTIVE SUMMARY
Scope of the report
Key findings
Argentina
Mexico
IMS caveat

CHAPTER 2 THE PHARMACEUTICAL MARKET IN ARGENTINA
Argentina has stable macroeconomic factors, some of which must be strengthened
A growing pharmaceutical market dominated by branded generics
Demographic trends in Argentina
Disease burden in Argentina
Socioeconomic environment in Argentina
Political climate in Argentina – stable
GDP has been growing after the economic crisis of 2001
Regional differences – the fight for equality continues
Mercosur established free trade between the countries involved
Corporate environment in Argentina
Foreign direct investment in Argentina is modest
Taxation system in Argentina
The healthcare system in Argentina
Healthcare expenditure in Argentina is high
The public sector is decentralized
Social health insurance system is fragmented
The private sector covers a minority of the population
The hospital capacity within the public sector has declined while the private sector has been growing
Regulatory issues in Argentina
IP protection has improved but is still inadequate
A significant effort has been made to reduce the patent backlog in Argentina
Registration of drugs in Argentina is a straight forward procedure
Advertising of pharmaceuticals is strictly controlled
Import of pharmaceuticals has been facilitated by Mercosur agreement
Drug counterfeiting has been reduced by a number of measures
Pricing and reimbursement of pharmaceuticals in Argentina
Pricing of pharmaceuticals in Argentina
The Generics Law, resulted in lower prices and increased access to pharmaceuticals
Antiretroviral therapy prices were decreased
Reimbursement of pharmaceuticals in Argentina
Remediar program, introduced in 2002, increased drug access to the poor
Pharmaceutical market dynamics in Argentina
Branded generics dominate the Argentinean market
Top three distributors dominate while retail pharmacy chains are expanding
Top manufacturers on the Argentinean retail market
Top ATC groups by sales value on the Argentinean retail market
Top brands on the Argentinean retail market
Import and export of pharmaceuticals – demand for foreign drugs remains high
Major foreign pharmaceutical companies in Argentina
Pfizer
Bayer
Roche
Major domestic pharmaceutical companies in Argentina
Roemmers
Bagó – collaboration and geographical expansion are driving growth
Phoenix
Clinical trials in Argentina – an underused opportunity

CHAPTER 3 THE PHARMACEUTICAL MARKET IN MEXICO
Growth of the Mexican economy and strengthened intellectual property rights are boosting pharma industry
The Mexican pharmaceutical market is dominated by foreign companies and is attracting a lot of clinical research
Demographic trends in Mexico
Disease burden in Mexico
Socioeconomic environment in Mexico
Political climate in Mexico
GDP has increased since the introduction of NAFTA
Regional differences – some rural areas are in extreme poverty
NAFTA eliminated tariffs between the US, Canada and Mexico, and boosted the Mexican economy
Corporate environment in Mexico
Taxation system in Mexico
Foreign direct investment in Mexico was boosted by NAFTA agreement
The healthcare system in Mexico
Healthcare system reforms in Mexico – the national health system aims to provide choice of healthcare provider
Healthcare expenditure in Mexico is low
The social security sector
Governmental services headed by the Ministry of Health are designed to offer coverage to the poor and uninsured
Only a small proportion of the population has private health insurance
Regulatory issues in Mexico
Intellectual property (IP) protection has significantly improved
Registration of drugs in Mexico is simple
Physicians play an important role in drug choices
Import of pharmaceuticals in Mexico is facilitated by NAFTA
Counterfeit drugs are a persistent problem in Mexico
Pricing and reimbursement of pharmaceuticals in Mexico
Pricing of pharmaceuticals in Mexico
Reimbursement in Mexico
Pharmaceutical market dynamics in Mexico
Mexico classifies generics into three segments
Market growth is driven mainly by growing preference and demand for high-value products and not by volume growth
Distribution of pharmaceuticals in Mexico is dominated by two distributors
Pharmacies selling cheap pharmaceuticals are very popular in Mexico
Top pharmaceutical companies in Mexico-multinationals dominate
Top ATC groups by sales value on the Mexican retail market
Top brands on the Mexican retail market
Import and export of pharmaceuticals have increased since NAFTA came into place
Major foreign pharmaceutical companies in Mexico
Sanofi-Aventis
Pfizer
AstraZeneca
Major domestic pharmaceutical companies in Mexico
Senosiain
Clinical trials in Mexico – an attractive opportunity for US companies

CHAPTER 4 BIBLIOGRAPHY
Publications and online articles
Datamonitor resources
Glossary of Terms

List of Tables
Table 1: Demographic indicators for Argentina, 2005
Table 2: Average annual growth rate of GDP and exports in Argentina, 1998-2010 (%),
Table 3: Key economic indicators for Argentina, 1986-2006
Table 4: Health expenditure indicators in Argentina, 2004
Table 5: Density of healthcare workers and hospital capacity in Argentina, 1998
Table 6: Argentina – Growth of pharmaceutical market in terms of sales volume, 2003-06
Table 7: Argentina – Average cost of unit sold, 2003-06
Table 8: Branded generics dominate the Argentinean pharmaceutical market, 2006
Table 9: Top 15 drug manufacturers in Argentina, 2006
Table 10: Market segmentation in Argentina according to ATC groups, 2006
Table 11: Top 15 brands in Argentina, 2006
Table 12: Key demographic indicators for Mexico, 2005
Table 13: Mexico -average annual growth rates of GDP and exports (%), 1986-2010
Table 14: Key economic indicators for Mexico, 1986-2006
Table 15: Health expenditure indicators in Mexico, 2004
Table 16: Growth of the Mexican market in terms of sales volume, 2003-06
Table 17: Average cost of unit sold, 2003-06
Table 18: Top 15 drug manufacturers in Mexico in 2006
Table 19: Growth of ATC group split in the Mexican market, 2006
Table 20: Top 15 brands in 2006 in Mexico

List of Figures
Figure 1: Key macroeconomic factors and healthcare system characteristics impacting the pharmaceutical industry in Argentina, 2008
Figure 2: Pharmaceutical market dynamics in Argentina, 2008
Figure 3: Structure of health system financing and provision in Argentina
Figure 4: The size of the Argentinean retail pharmaceutical market, 2002-06
Figure 5: Sales growth and CAGR for the top ATC groups in Argentina
Figure 6: The relative market share for each ATC group in Argentina is very similar to the six major markets
Figure 7: Clinical trial protocols assessed and approved, 1994-2006
Figure 8: Multinational pharmaceutical companies sponsor the majority of clinical research in Argentina
Figure 9: Advantages and disadvantages of carrying out clinical trials in Argentina
Figure 10: Key macroeconomic factors and healthcare system characteristics impacting the pharmaceutical industry in Mexico
Figure 11: Pharmaceutical market dynamics in Mexico
Figure 12: The three pricing regulations in Mexico
Figure 13: Decision process for listing pharmaceuticals on the Basic Formulary and the Catalogue of Inputs
Figure 14: The size of the Mexican retail pharmaceutical market, 2002-06
Figure 15: Sales growth and CAGR for the top ATC groups in Mexico, 2006
Figure 16: The relative market shares of each ATC groups are very similar between Mexico and the six major markets
Figure 17: Advantages and disadvantages of carrying out clinical trials in Mexico