Research and Markets (http://www.researchandmarkets.com/research/c3bdb3/economic_analysis)
has announced the addition of Frost & Sullivan's new report "Economic
Analysis for the Russian Healthcare Industry" to their offering.
“Economic
Analysis for the Russian Healthcare Industry”
Between 2003-2008 Russia witnessed robust economic growth, attributed
mainly to strong Ruble and high oil prices in the international market.
The growth was also supported by surge in domestic demand and increased
investment in the country. All this had a positive impact on the
healthcare industry which experienced strong growth over these years.
However, in 2009, the domestic and global slowdown began to affect the
healthcare industry as well. There was a drastic increase in the prices
of drugs. The Country Industry Forecast gives an in depth analysis of
how Russia's recent changes in the economic environment have affected
the Healthcare Industry and created opportunities for it.
Russia's stable macroeconomic growth in the last couple of years can be
mainly attributed to high oil prices in the global market. The economy
benefited from a spurt in output, driven by the rise in domestic demand,
increase in investments, and political stability. However, the global
economic downturn of 2008 caused the economy to shrink in the first and
second quarter of 2009. In response to this situation, the Russian
Government allocated more than $90.00 billion in stimulus package in
2008 and 2009 to strengthen the financial sector, support the economy,
and protect the most vulnerable sections of the society. The economy is
on the path to recovery and consequently, the Russian healthcare
industry is also experiencing significant growth. The governments drug
reimbursement program encouraged an increase in drug consumption and
drug sales and this trend is expected to continue in 2010. The
healthcare industry will also benefit from the country's aging
population as well as an increase in disposable income, consumer
spending, demand for healthcare products, and government funding for
drugs through a new health insurance system.
As imports account for nearly 60 percent of the total volume of the
Russian pharmaceuticals market, the government has been trying to lower
the reliance on western drugs by giving an impetus to the local
production, mostly of generic drugs, which is a market with tremendous
potential. Russia is also an attractive location for conducting clinical
trials as it offers cost advantages (45.0 to 50.0 percent less expensive
than western countries), a huge pool of patients, a centralized
healthcare system, and large hospitals, each specializing in a
therapeutic area. Moreover, the regulatory system is being increasingly
streamlined and is becoming transparent. The country has a substantial
pool of talented scientists and offers a wide market for manufactured
drugs due to a large population and a continuous rise in the demand for
health products. However, strong competition from developing countries
is likely to challenge the Russian clinical market in the future.
The government is actively encouraging the biotechnology sector, as part
of the country's economic modernization plan. In 2006, the government
prepared a ten-year Biotechnology Development Plan for promoting the
sector, laying emphasis on the establishment of special economic zones
(SEZs) for innovative biotechnology. The Russian medical technology
market is underdeveloped, although initiatives have been taken to
incorporate information technology (IT) in healthcare since the 60s.
Several telehealth networks have been developed and a 'National Health
Program' has been initiated to provide significant funds to build
specialized health centers in the country. There is also rising demand
to replace obsolete medical equipment, which bodes well for the
manufacturers of high-end medical devices. The country's ascension to
the World Trade Organization (WTO) will further attract investments to
its healthcare industry.
Frost & Sullivan's Healthcare Country Industry Forecast service provides
vital inputs for evaluating the attractiveness of a country and its
healthcare industry. Besides enabling decision makers to assess the
impact of non-market forces, it also helps in identifying new market
opportunities. This service provides a strong base for preparing
contingency plans. In addition, investors can assess industry-specific
risk factors as well as conduct a more in-depth micro research.
Benefits
Expert Frost & Sullivan analysts thoroughly examine the following
benefits in this research:
Identifying New Market Opportunities