New Market Research Report: Portugal Pharmaceuticals & Healthcare Report Q3 2010

June 19, 2010 - PRLog -- Portugal's pharmaceutical sales reached a value of EUR3.62bn (US$5.10bn) in 2009. It is BMI's view that the slowdown in drug market growth in Portugal in recent years will continue in 2010, with drug sales expected to reach a value of EUR3.64bn (US$5.27bn), equating to growth of 0.40% in local currency terms and 3.29% in US dollar terms. We attribute this to the continued effect of the country's poor fiscal status and the possibility of further drug price cuts aimed at generating much needed savings.

BMI forecasts growth of 0.6% for the Portuguese economy in 2010 as government consumption, the main driver underpinning growth in 2009, will likely be removed. Concerns over the government's fiscal accounts have seen sovereign and corporate spreads rise, which makes funding debt more expensive. The government will attempt to tighten its purse strings in 2010 in order to calm markets and appease the European Union (EU), and with the Portuguese government accounting for around 92% of total pharmaceutical spending, drug price reductions may be seen as a relatively easy way to cut costs.

In early May 2010, Greece announced the implementation of a market decree which will bring about 'short-term' price cuts of up to 27% for medicines. While the new market decree and the associated fallout will have a negative impact on the Greek market, BMI notes that longer-term price erosion in Greece has the potential to affect Portugal's drug prices and consequently drug market value. Under Regulation No. 29/90 the initial manufacturers'/importers' maximum selling prices (PVA) for medicines in Portugal are strictly based on the lowest ex-factory price of identical or similar medicines containing the same active ingredient in four reference countries: Spain, France, Italy and Greece (as per legislation introduced in March 2007). Prices are not permitted to be higher than the average levels in these countries.

High levels of Portuguese government debt have already filtered through to the healthcare sector, with public hospitals owing the pharmaceutical industry around EUR625mn (US$856mn) in 2009. BMI believes the delay in payments threatens Portugal's attractiveness as a location in which to sell drugs, especially as public health expenditure accounts for a substantial 70% of total expenditure, which was EUR17.57bn (US$24.76bn) in 2009.

Despite a compound annual growth rate (CAGR) of 3.39% in local currency terms and 5.89% in US dollar terms between 2004 and 2009, BMI's outlook for the Portuguese drug market is less optimistic over the next five years. Between 2009 and 2014, a CAGR of -1.29% is projected in local currency terms (-3.38% in US dollar terms), largely as a result of the impending patent cliff and the consequent consumption of lower-value generic drugs in place of high-value patented drugs. The possibility of further price cuts will also affect compound annual growth.

For more information or to purchase this report, go to:
-  http://www.fastmr.com/prod/67715_portugal_pharmaceuticals...

Report Table of Contents:

Executive Summary
SWOT Analysis
- Portugal Pharmaceuticals And Healthcare Industry SWOT
- Portugal Political SWOT
- Portugal Economic SWOT
Pharmaceutical Business Environment Ratings
- Table: Western Europe Pharmaceutical Business Environment Ratings For Q310
- Limits To Potential Returns
- Risks To Realisation Of Returns
Portugal - Market Summary
Regulatory Regime
- Table: Number Of Marketing Authorisations Issued In Portugal
- Table: Number Of Medicines With Marketing Authorisation
- Parallel Imports
- Recent EU Regulatory Developments
- Pricing Regime
- Generic Drugs
- Reimbursement Regime
- Pharmacoeconomics
Industry Trends And Developments
- Epidemiology
- Table: Number Of Deaths In Portugal According To Disease
- Healthcare System
- Pharmaceutical Industry
- Recent Company Developments
- Wholesale Sector
- Pharmacy Sector
- Clinical Research
- Medical Devices
Industry Forecast Scenario
- Key Growth Factors - Industry
- Macroeconomic Outlook
- Table: Portugal - Economic Activity
- Prescription Drug Market Forecast
- Patented Drug Market Forecast
- Generic Drug Market Forecast
- Table: Top 10 Generic Drugs By Value In 2008
- OTC Medicine Market Forecast
- Table: Top Ten Non-Prescription Drugs Sold Outside Pharmacies By Volume, January-October 2008
- Pharmaceutical Trade Forecast
- Other Healthcare Data Forecasts
- Key Risks To BMI's Forecasts
Competitive Landscape
- Table: Number Of Pharmaceutical Companies, Wholesalers, Pharmacies, Pharmacy Extensions And Drug Stores In Portugal
Company Profiles
- Hovione
- Bial
- Medinfar
- Ratings Overview
- Table: Pharmaceutical Business Environment Indicators
- Weighting
- Table: Weighting Of Components
- Sources
Forecast Tables

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.