DUBLIN--(BUSINESS WIRE)--Research and Markets (http://www.researchandmarkets.com/research/9b5ca4/estonia_pharmaceut) has announced the addition of the "Estonia Pharmaceuticals and Healthcare Report Q1 2011" report to their offering.
The Estonia Pharmaceuticals and Healthcare Report provides industry professionals and strategists, corporate analysts, pharmaceutical associations, government departments and regulatory bodies with independent forecasts and competitive intelligence on Estonia's pharmaceuticals and healthcare industry.
In BMI's regional Business Environment Ratings (BER) matrix for Q111, Estonia is ranked in an improved 11th position out of the 20 key markets in Emerging Europe. Globally, Estonia ranks 43rd, between Kuwait and Bahrain, similar to the previous quarter, with key drawbacks to investment in the market being its small absolute size and the relatively high level of maturity, despite a strong showing on the Risk side (given its strong regulatory environment). Additionally, the government has taken a more proactive stance in relation to the promotion of generics, which will have a bearing on the market development, especially in the light of the currently challenging economic conditions.
In fact, despite the sharp upturn in Estonian real GDP growth to 3.1% y-o-y in Q210 (after an unprecedented nine consecutive quarters of real GDP contraction), we hold to our lacklustre recovery view for the country. Our 2010 and 2011 growth forecasts remain unchanged at 0.2% and 2.2%, respectively with deleveraging, weak consumer demand and a protracted capital investment contraction continuing to undermine the economy. Indeed, every component of domestic demand continued to contract, despite the bounce in headline growth, which will clearly have a bearing on the development of the pharmaceutical market values as well as volumes and the product mix. The public sector, too, is unlikely to provide any support, with the government expected to maintain a tight fiscal austerity programme even after the adoption of the euro in January 2011.
BMI forecasts that pharmaceutical sales growth in Estonia will post only marginal growth in 2010, while macroeconomic factors presage a less positive growth dynamic over the next decade, compared with the years prior to the economic downturn. BMI projects year-on-year (y-o-y) local currency growth of 1.4% for 2010, but a decline of 5.9% in US dollar terms. Longer-term stabilisation is expected around the single-digit level, as expressed in local currency. From 2009-2014, we project a compound annual growth rate (CAGR) of 3.80%, with the market reaching the value of EEK4.27bn (US$341mn) in 2014 again small in absolute terms. While the CAGR will improve to 4.69% over the 2009-2019 period, by the end of it, the markets value will remain under US$450mn, clearly representing constraints to company involvement.
In the meantime, the medical equipment market will be stimulated by further modernisation of the country's healthcare system through the hospital restructuring and closure programme, as well as the private sectors rising prominence. However, as most healthcare provisions remain financed by the state, the purchase of high-cost devices will be dependent on the optimisation of available resources. Therefore, through to 2014, we project a local currency CAGR of 4.43%, which translates into a modest, 2.24% US dollar CAGR growth, although these figures are still higher than those forecast for the pharmaceutical market. By 2014, the value of the Estonian market for medical devices is expected to rise to EEK1.47bn (US$118mn), with its development through to 2019 still failing to breach the US$200mn mark.
Key Topics Covered:
- SWOT Analysis
- Pharmaceutical Business Environment Ratings
- Table: Emerging Europe Regional Pharmaceuticals Business Environment Ratings, Q111
- Estonia - Market Summary
- Regulatory Regime
- Intellectual Property Regime
- Parallel Importing
- Pricing Regime
- Reimbursement Regime
- Table: Pharmaceuticals Reimbursed to the Insured (EEK 000)
- Industry Developments
- Epidemiology
- Table: Disease Burden In Central and Eastern Europe (CEE)
- Table: Main Indicators of HIF's Finances
- Table: Diagnoses with the Highest Expenditure of Benefits of Medicinal Products
- Industry Forecast Scenario
- Other Healthcare Data Forecasts
- Key Risks To BMI's Forecast Scenario
- Competitive Landscape
- Pharmaceutical Industry
- Foreign Pharmaceutical Players
- Company Developments
- Biotechnology
- Pharmaceutical Wholesale
- Pharmaceutical Retail
- Table: Pharmacies And Pharmacy Market Ratios, 2004-2009
- Company Monitor
- Country Snapshot: Estonia Demographic Data
- Methodology
- Weighting
Companies Mentioned:
- GlaxoSmithKline (GSK)
- Pfizer
- Novartis
- Sanofi-Aventis
- Merck & Co
- Grindeks (includes Tallinn Pharmaceutical Plant)
For more information visit http://www.researchandmarkets.com/research/9b5ca4/estonia_pharmaceut