| Market Research A to Z | Company Profiles A to Z | Register | Contact Us |
| +44 (0) 203 086 8600 Call us on |
Lebanon Pharmaceuticals and Healthcare Report Q4 2009
Market |
Healthcare and Medical |
Report Type |
Market Research |
Country |
Lebanon |
Published |
21 October 2009 |
Number of Pages |
74 |
Download |
|
Immediate |
|
Publisher |
Business Monitor International |
Drug spending in Lebanon is forecast to increase from under US$500mn in 2008 to US$605mn by 2013
We expect total drug spending in Lebanon to increase from under US$500mn in 2008 to US$605mn in 2013, a compound annual growth rate (CAGR) of 3.9% in US dollar terms, with 1.75% of GDP dedicated to pharmaceutical expenditure by 2013.
The Minister of Health, Mohammad Jawad Khalifeh, has held the position since 2005 and has dramatically reformed drug pricing in the country, highlighting the fact that other countries in the region with similar economies were paying significantly less for medicines than Lebanon. Following a lengthy period of pressure, the government finally reduced average pharmaceutical prices by 5%, with the momentum and support gained in the process providing the impetus for other regulatory changes, including the introduction of transparency guidelines.
Public sector health provisions have been scrutinised and challenged by Khalifeh in light of high unmet demand for subsidised services. He said the budget for the Ministry of Public Health in 2005 was only 3.5% of GDP and subsequently the department ran into deficit every year. While a small population will restrict growth, we believe government subsidisation will do much to boost the drug market. More affordable prices and access to hospitals will allow people to spend more on medicines instead of forgoing treatment altogether.
Despite the price differences, there is little perceivable demand for off-patent drugs outside of the public healthcare sector. However, the prescribing habits of doctors are a major factor in determining demand.
The lack of transparency and registration notification to physicians for new generic drugs exacerbates this problem. While government websites aim to clarify which patented medicines have a generic equivalent in the country, the low exposure of off-patent medicines to the patient is the reason the CAGR for this sector is only 3.85% between 2008 and 2013.
The generic drug sector in Lebanon will experience slow growth over the next five years, largely due to established partnerships between the private sector and the government in determining procurement policies. Critics of the Ministry of Public Health have said that importers and wholesalers in the country cannot profit as much from selling generic medicines as patented – an obvious incentive against ordering cheaper drugs. In this sense, the pharmaceutical industry in Lebanon is not being regulated in favour of the patient.
Another key issue is that the country lacks an internationally accredited drug testing and analysis laboratory, and therefore relies on patented medicines as these are already approved by the US Food and Drug Administration (FDA) or the European Medicines Agency (EMEA). Relying on international regulatory standards is a means of assuring quality if the country does not have the means to do so itself.
The expense of reopening a laboratory that closed in 2007 remains off-putting and continues to inhibit progress. However, Lebanon’s pharmaceutical sector cannot progress without a centralised drug testing laboratory and as a result is set to remain restricted in terms of drug choice and market growth.
Last Viewed
Lebanon Pharmaceuticals and Healthcare Report Q4 2009Portugal Solar PV Equipment Market to Rebound in 2011
Epic Ventures - Medical Equipment - Investment Profile
Energy Spectrum Capital - Oil & Gas - Investment Profile
IT Services Contracts Monthly Roundup, September 2009
Healthcare and Medical Company Profiles
Healthcare and Medical Company Profiles contain up to date financial, strategic, operational, SWOT analysis and product information on the activities of thousands of healthcare and medical companies.
Become an Affiliate
Do you manage an industry specific website or blog? Are you looking to monetise your web traffic further? Are you a B2B website?
Why not offer your visitors industry specific strategic market reports and company profiles? Our Affiliate Program enables you to provide quality content on your website and to earn money from passing on visitors to our website. If a sale is made from your visitor, you earn commission (a fixed percentage of the price of a product).
Custom Research
Cannot find what you need? We can tailor a report for you. Complete the Custom Research Form and we will provide a quote.
News
Genium Bionic Prosthetic System Represents the First Intuitive Knee
AdCare continues nursing facilities acquisitions strategy
AdCare Purchases US$27.3Mn Nursing Facilities in Arkansas to Drive Strong Revenue Growth
Micromet to Develop Blinatumomab with the National Cancer Institute
AstraZeneca to Develop Targacept’s Product Candidate AZD1446 as a Treatment for Alzheimer’s
Market Insights
Currently there are no Market Insights in this sector.
