By the end of 2022, the Russian pharmaceutical market may reach the volume of 2.8-2.9 trillion rubles, RBC reports with reference to the forecast of Yakov & Partners. Nevertheless, analysts warn that in the coming years, almost the entire pharmaceutical market of the country may be at risk.
By the end of 2021, the market was worth 2.3 trillion rubles. According to analysts, there are currently 550 Russian and 570 foreign pharmaceutical companies operating in the pharmaceutical market of Russia.
Despite the absence of explicit restrictions, 10 manufacturing companies from “unfriendly countries” have already faced difficulties due to the disruption of logistics chains and the political situation in the world, experts say. And in 2023 and further on, 95% of the market may be at risk, Yakov & Partners warns, implying import dependence of Russia’s pharmaceutical industry.
Most of the foreign companies have stopped investing in their Russian projects, marketing and promotion, which may lead to the complete withdrawal of their drugs from the Russian market, analysts at Yakov & Partners believe. According to their calculations, the share of foreign companies in the Russian market is now about 25% in the budget segment and 23% in the commercial sector. Collectively, companies from unfriendly countries occupy more than half of the drug market, while Russian players account for 36%.
The development of medicines, production, and distribution activities are the key points of growth, and the risks are insufficient financing and import dependence, according to the analysts.
