Russian pharma market showed growth of 18%, despite the global economic crisis

Despite a background of falling Gross Domestic Product (GDP) and primary economic indicators for the country, the Russian pharmaceutical market in 2009 was able to show growth in ruble terms, according to new research from DSM group, one of Russia's leading market research agencies.

The overall value of the pharmaceutical market (including VAT) in 2009 amounted to 538 billion rubles ($18.36 billion) in retail prices, 18% higher compared to the previous year. This compares to an overall decline in GDP of -8%, the report notes.

The Russian pharmaceutical market comprises the commercial segment, parapharmaceuticals and the state-owned medicine sector. Growth was seen across all three with the commercial pharmaceuticals segment growing 22%, driven primarily by price increases. As a result of the higher costs on imported medicines given the weakness of the ruble, the state segment growing by 11% and parapharmaceuticals expanded by 15%. Sales for the commercial segment in 2009 were approximately 290 billion rubles, while turnover for the state sector was around133 billion rubles, with that for parapharmaceuticals at about 116 billion rubles.