New Market Research Report: Venezuela Pharmaceuticals & Healthcare Report Q1 2011

Jan. 28, 2011 - PRLog -- BMI calculates that pharmaceutical sales in Venezuela, under pressure from economic and pricing factors, reached VEB12.76bn (US$5.95bn) in 2009, a 31.2% local currency year-on-year (y-o-y) increase. However, this was largely because of double-digit inflation levels, rather than a reflection of true market development. Inflation is expected to continue to be a massive problem in the coming years, remaining partly responsible for pushing the overall market value to grow at a compound annual growth rate (CAGR) of 13.63% in the 2009-2014 period. However, US dollar CAGR development will fall firmly in the negative territory (to -16.5%), due to weak local tender. Chavez has made it clear that a weaker bolivar is part of a strategy to discourage imports whilst trying to bolster exports and domestic productivity. However, although the devaluation is doubtless one key step towards reducing distortions in the economy - and reflects some pragmatism on part of Chavez - the messy nature of the new exchange rate set-up could work against the government's objectives.

Additionally, despite significant oil reserves, BMI's country risk team forecast economic growth to recover very slowly from the deep recession of 2009. The consumer price inflation increase is expected to top 34% y-o-y by the end of 2010 and production capacity may be further eroded by possible government appropriations. Widespread corruption and rising state interference in private business also contribute to the fact that Venezuela remains a majorly risky market in which to operate. Similarly, while we revised our real GDP growth forecasts for Venezuela upwards, we are still projecting negative growth, of -2.0% in 2010. The figure is expected to return to positive territory in following years, but we caution that structural imbalances in the economy are only likely to deepen as there is little to suggest that President Chavez's distortive policy mix will let up anytime soon.

Our Q111 Business Environment Ratings tables for the Americas - and the world - continue to reflect the fact that Venezuela's pharmaceutical market is one of the most challenging in the region. Venezuela again finds itself with the third lowest overall rating in the Americas region, as the operating environment for drugmakers remains suboptimal due to weak intellectual property (IP) laws and a political regime that does not favour private enterprise. However, the structure of the country, with its fast-growing urban population, creates an environment in which strong returns can be achieved, particularly for players with a strong hand in the generics sector, although risks continue to be on the downside.

On a positive note, president of the UN General Assembly, Ali Abdussalam Treki, said in September 2010 that he admired Venezuela's progress toward achieving its Millennium Development Goals (MDGs) according to venezuelanalysis.com. The Venezuelan National Statistical Institute states that the country has already achieved a significant amount of the MDGs with five years remaining to accomplish them all. The country is also aiming to increase access to antiretrovirals (ARVs) by offering those medicines free to patients suffering from HIV from 2011.

For more information or to purchase this report, go to:
-  http://www.fastmr.com/prod/110382_venezuela_pharmaceutica...


Partial Table of Contents:

Executive Summary
SWOT Analysis
- Venezuela Pharmaceuticals And Healthcare Industry SWOT
- Venezuela Political SWOT
- Venezuela Economic SWOT
- Venezuela Business Environment SWOT
Pharmaceutical Business Environment Ratings
- Table: Americas Pharmaceutical Business Environment Ratings, Q111
- Rewards
- Risks
Venezuela - Market Summary
Regulatory Regime
- Other Regulatory Issues
- Intellectual Property Environment
- IP Shortcomings
- International Collaboration
- Trade Agreements
- Counterfeit Drugs
- Pricing And Reimbursement
Industry Developments
- Epidemiology
- Communicable Diseases
- Non-Communicable Diseases
- Healthcare Sector
- Healthcare Sector Developments
- Hospital Sector
- Private Healthcare Sector
- Research and Development
- Medical Devices
Industry Forecast Scenario
- Overall Market Forecast
- Table: Pharmaceutical Sales Indicators 2006-2014
- Key Growth Factors - Industry
- Table: Healthcare Expenditure Trends, Historical Data and Forecasts, 2006-2014
- Key Growth Factors - Macroeconomic
- Table: Venezuela - Economic Activity
- Prescription Drug Market Forecast
- Table: Prescription Drug Sales Indicators 2006-2014
- Patented Product Market Forecast
- Table: Patented Drug Sales Indicators 2006-2014
- Generic Drug Market Forecast
- Table: Generic Drug Sales Indicators 2006-2014
- OTC Medicine Market Forecast
- Table: OTC Medicine Sales Indicators 2006- 2014
- Medical Device Market Forecast
- Table: Medical Device Sales Indicators 2006-2014
- Pharmaceutical Trade Forecast
- Table: Pharmaceutical Imports & Exports Indicators 2006-2014
- Other Healthcare Data Forecasts
- Key Risks To BMI's Forecast Scenario
Competitive Landscape
- Pharmaceutical Sector
- Company Activity
- OTC Medicines
- Retail Pharmacy
Company Profiles
- Indigenous Company Profiles
- Grupo Farma
- Elmor
- Strides Latina (Sumifarma)
- Calox International
- Leading Multinationals
- Pfizer
- Sanofi-Aventis
- GlaxoSmithKline
- Boehringer Inglelheim
- Novartis
- Merck & Co
Country Snapshot: Venezuela Demographic Data
- Section 1: Population
-

Full Table of Contents is available at:
-- http://www.fastmr.com/catalog/product.aspx?productid=1103...

About Business Monitor International

Business Monitor International (BMI) offers a comprehensive range of products and services designed to help senior executives, analysts and researchers assess and better manage operating risks, and exploit business opportunities, across 175 markets.  BMI offers three main areas of expertise: Country Risk BMI's country risk and macroeconomic forecast portfolio includes weekly financial market reports, monthly regional Monitors, and in-depth quarterly Business Forecast Reports.  Industry Analysis BMI covers a total of 17 industry verticals through a portfolio of services, including in-depth quarterly Country Forecast Reports.  View more research from Business Monitor International at http://www.fastmr.com/catalog/publishers.aspx?pubid=1010

About Fast Market Research

Fast Market Research is an online aggregator and distributor of market research and business information. We represent the world's top research publishers and analysts and provide quick and easy access to the best competitive intelligence available.

For more information about these or related research reports, please visit our website at http://www.fastmr.com or call us at 1.800.844.8156.

# # #

Fast Market Research is an online aggregator and distributor of market research and business information. We represent the world's top research publishers and analysts and provide quick and easy access to the best competitive intelligence available.