Iran pharma market set to grow 15% in 2010 from $2.3 billion value

The Iranian pharmaceutical market in 2009 is estimated to be worth 22,659 billion rial ($2.30 billion), with generics representing over half of the market by value. For 2010, Business Monitor International forecasts that the market will expand by close to 15% in local currency terms, with this figure settling at a lower double-digit level over the remainder of the five-year forecast period.

By 2014, the market is expected to be valued 39,805 billion rial ($3.23 billion) at consumer prices, posting a compound annual growth rate (CAGR) of 11.93% in local currency. However, this will translate into a substantially lower expansion rate, which will serve to further deter potential investors, even assuming that the country’s political and economic environment improves.

In BMI’s Middle East and Africa Pharmaceutical Business Environment Ratings for the first quarter of 2011, Iran continued to slip down the rankings. The country is now 10th of the 19 markets surveyed in the Middle East and Africa (MEA) region.