Russian pharma showed its great potential at the 27th international pharmaceutical exhibition CPhI. The Russia industry was represented by entrepreneurs and regulators. The section of the Ministry of Industry and Trade presented Russian companies that are developing their export. ARPM Director General, Victor Dmitriev gave a presentation on the first results of the Federal program of “Development of the medical and pharmaceutical industry by 2020”.
Russian pharmaceutical industry has made a great improvement through the work of pharmaceutical companies and state support in the last 10 years. The strategy “Pharma-2020” and the Federal Programs solve several basic issues: increase the shear of medicines produced in Russia, design and marketing of modern medicines, as well as training of experts and expansion to new markets. We have preconditions to successfully accomplish these goals through the programs of import substitution, transfer of production, technologies and licensing into Russia. “We understand the the Russian market is too small for us and we strive to be present on the global market,” noted Mr. Dmitriev.
The success of the Pharma-2020 strategy is proven by the statistic. Companies that are importing into Russia are losing their market positions to those that produce within the country. The sales leaders in 2015: Sanofi, Takeda, Teva, Servier all have production facilities in Russia. Russian medicines replace foreign ones at state sales. Thus, Pharmasyntez was the top 5 company based on the volume of hospital procurement and showed a 150% sales growth. The share of export was increased by Petrovax Pharm. (Top 5 producer of immunobiological medicines). Based on the company’s results, their sale revenue increased by 3.5 times.
“Our top 10 position in the hospital sales segment is the result of continuous and coordinated work of all employees and the support of the state. However, this is only the beginning. We have new goals and new projects ahead of us. The CPhI Platform helps our company to find new partners and establish contacts with representatives of pharmaceutical industry from all around the world,” said President of Pharmasyntez Vikram Punia.
Creation of the EuroAsian Economic Union and its new geographical and economic opportunities make the regional market even more attractive for investors. The combined GDP of the Union is over $1.5 trillion. A lot of work is done to adjust and harmonize the legislation to shortly launch a single pharmaceutical market. A particular attention is devoted to the unification of registration procedures, price formation, pharmacovigilance and taxation within the Union. The volume of the pharmaceutical market of the Union is over $20 billion (IMS data), and 85% of it is produced in Russia.
“This exhibition is a big event for all pharmaceutical producers. It is encouraging to note that if five years ago we would come here to see at achievements of foreign companies, today we have some of our own. Russia’s achievements are not only represented at the stand of the Ministry of Industry and Trade but also in the report of the PhRMA (Pharmaceutical Research and Manufacturers of America). They say that due to the active import substitution members of the PhRMA loose their positions on the Russian market.
Our new development gives not only new export opportunities but also allows to save the state budget. Russia’s healthcare budget was able to save over 5 billion Rubles and treat thousands of patients due to new medicines on the market. We shared these results at the research part of the exhibition, but the main results are the new business contacts, arguments, and identification of development potential,” said Mr. Dmitirev.
Over 2000 professionals took part in the exhibition and over 29,000 have visited it. The stand of the Ministry of Industry and Trade had Russian companies such as Petrovax Pharm, Materia Medica Holding, Nativa, and “Pharmasyntez. Biokad had their own stand and R-Pharm was presented their German branch- R-Pharm Germany Gmbh.
“The CPhI exhibition showed that the Russian pharma industry has become an equal member of the world market, and it is interesting for both investors and business partners. We not only provide people of the country with quality, accessible and effective drugs but also are able to compete with manufacturers on a global level,” said President of Petrovax Pharm, Elena Arhangelskaya.
“We are pleased to note that this year Russia was represented at the CPhI with the leading domestic medical manufacturers. We strive to comply with all modern requirements for production and product quality, we adopt the experience of the world’s leading producers, we carry out our own development, and expand the research base, successfully working on the export potential. The objective of state authorities is to respond to manufacturer appeals and to create proper conditions for doing business. We are in constant dialogue with the industry, and the positive work results were shown here, at the exhibition,” said deputy Head of the Department if Development of Pharmaceutical and Medical Production of the Ministry of Industry and Trade, Alexey Alehin.