Research and Markets: Strategic Analysis of the Russian Pharmaceutical Market - Total Revenues in 2009 Reached $15.3 Billion

DUBLIN, Jan 22, 2011 (BUSINESS WIRE) -- Research and Markets ( has announced the addition of Frost & Sullivan's new report "Strategic Analysis of the Russian Pharmaceutical Market" to their offering.

This research service titled Strategic Analysis of the Russian Pharmaceutical Market provides a thorough analysis of the challenges, drivers and restraints of the market against a backdrop of the economic slowdown as well as recent legislative changes and competitive profiles of the key participants.

Market Overview Government Initiatives to Spur Sustained Expansion of the Russian Pharmaceutical Market With total revenues of $15.3 billion in 2009, the Russian pharmaceutical market is one of the largest in the world. The market is anticipated to remain on a path of dynamic growth from 2010 to 2016 mainly due to multiple initiatives of the Russian Government. However, in the short term, the process of implementing legislative changes could slightly restrain the market's development. The Russian state's policy of improving the demographic situation in the country and providing adequate healthcare services to its population is projected to be one of the main pillars for the expansion of the pharmaceutical market. Multiple initiatives undertaken by the Government aim at enhancing pharmaceutical provision in Russia, notes the analyst of this research service. Through amending the law and declaring its support for domestic industry, the Russian Government appears to be a guarantor of pharmaceutical market growth.

For example, the 2020 Pharmaceutical Development Programme (Pharma 2020) aims at strengthening domestic manufacturers of pharmaceuticals. It seeks to ensure that by 2020, at least 50 per cent of pharmaceuticals (in value terms) circulated in Russia will be of domestic origin. Introduced in September 2010, Federal Law #61, About Circulation of Medicines, simplifies the circulation of drugs and makes authorisation procedures faster and more transparent. Moreover, implementation of pharmaceutical insurance has been planned as a part of the 2020 Healthcare Development Programme.

Legislative Changes Act as a Double-edged Sword - Promote Long-term Growth, but Short-term Uncertainty Uncertainty in the legislative environment, resulting from multiple changes in pharmaceutical law, could potentially restrain growth of the Russian pharmaceutical market during the short term. Russian legislation in regards to pharmaceuticals has witnessed numerous changes in recent years with the government working on multiple legislative transformations, including ZLVLS List, GMP introduction and Pharma 2020, among others, remarks the analyst.

Although new legislation should not necessarily restrain market development, but rather bring clarity and coherence, the expectation process, per se, is likely to stretch through 2010 and early 2011, temporarily restraining the market's development.

Although the Russian Government has announced and explained a number of amendments, there are many questions that remain unanswered. The best strategy in this case is to closely observe the market and follow new declarations and proposed changes. The changing legislative environment can bring significant benefits for pharmaceutical manufacturers, concludes the analyst. For instance, companies which decide to establish production facilities in Russia can count on government support and preferential treatment. Nevertheless, companies need to closely observe changes to assess their impact on potential growth opportunities.

Market Sectors Expert Frost & Sullivan analysts thoroughly examine the following market sectors in this research: Commercial retail Reimbursement (DLO) Hospitals Key Topics Covered: 1. Introduction 2. Executive Summary 3. Overview of Russian Healthcare System 4. Analysis of the Total Russian Pharmaceutical market 5. Commercial Retail Market Analysis 6. Reimbursement (DLO) Market Analysis 7. Hospital Market Analysis 8. Competitive Landscape for the Russian Pharmaceutical Market 9. Conclusions 10. Appendix 11. Abbreviations 12. Research Methodology in Depth For more information visit SOURCE: Research and Markets Ltd.

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