Pharmaceutical Industry Pharma Booms in South–East Asia – Yet, the Market has an Achilles Heel
The markets for excipients in the Middle East, Africa, and Southeast Asia render untapped potential with above-average growth, according to Kline.
Parsippany, NJ/USA – Southeast Asia is the fastest growing pharmaceutical market in the world witnessing double-digit growth since 2011, with growth of excipients consumption in the region also strong and estimated to increase at a compound annual growth rate of 13.4 per cent through 2020, finds recently published Specialty Excipients for ‘Oral Solid-Dosage-Form Pharmaceuticals: Emerging Markets Analysis and Opportunities’ by global market research and management consulting firm Kline. Another excipients market analyzed in the report with solid pockets of opportunity is the Middle East and Africa region, forecast to progress at a CAGR of nearly 8 per cent through 2020.
Despite having small shares in the global market, the Middle East and Africa and Southeast Asia account for shares of roughly 5 per cent and 4 per cent, respectively, in the global specialty excipients market. Growing population, increasing government healthcare expenditure, developing health insurance industry, and the increase in the prevalence of chronic disease, among others, are vital contributors to the pharmaceutical industry’s growth in these regions.
However, these markets are heavily dependent on imports for pharmaceutical raw materials with minimum-to-no domestic manufacturing. The top five suppliers in these regions are DFE Pharma, Roquette, Meggle, JRS Pharma, and MingTai, together holding over 50 per cent share in sales by volume. European suppliers have relatively greater influence in the Middle East, while Indian and Chinese suppliers have a relatively greater share in the Southeast Asian market.