Aging population and imminent patent expirations rev up the South Korea generics market growth

The South Korean generic drugs market is growing at a steady pace, aided by the expanding aging population, rise in chronic disease and impending patent expirations, according to a new report from market research group Frost & Sullivan. South Korea is considered one of the most promising pharmaceutical markets in Asia.

The Korean government has offered ample support, ramping up investments into the highly visible generics drug market. The market experienced a growth of 7.3% in 2009 over the previous year and is projected to increase as many blockbuster drugs go off-patent within the next five years. This will allow generics companies to increase their product range and present more cost-effective drug options for patients.

Government backing of domestic drug development, such as the Korea Research Institute for Bioscience and Biotechnology (KRIBB), is likely to increase introduction of novel drugs into the market, the F&S report notes. The signing of the Free Trade Agreement (FTA) with the USA has lowered tariffs for imports, enhanced regulatory transparency, and increased multinational pharmaceutical investment interest.