Private investments to boost growth in Brazil's generic drug industry

Brazil's generics drugs industry has benefited strongly from the soaring investments made in the sector in recent years. After generics were first approved in 2000, investment in the sector has seen strong growth, with both domestic and foreign players investing millions of dollars. According to new research on the sector in a report titled Brazil Generics Market Forecast to 2012 by India-based research firm RNCOS, the generic drugs market in Brazil is projected to grow at a compound annual growth rate (CAGR) of around 19% during 2010-2012.

Brazil is currently the largest market for generic drugs in Latin America. Analyzing the current market scenario and positive future growth, the country is set to join the group of the most potential generic drugs markets in the world, says RNCOS.

The firm says it has done extensive research and analysis of the generics market in Brazil in order to understand the factors that will continue to serve as growth propellers for the market over the coming years. It says it has identified that various other factors, such as patent expiries, government initiatives, aging population and increasing prescription rates have promoted the use of generic drugs in the country, thus leading the market to witness remarkable growth. The report also gives insight into the role of the country's regulatory environment in the development of its generic drugs industry.