In 2008, Generics Accounted For More Than 51% Prescriptions And Around 23% Sales Of The Canada Pharmaceutical Market
New report provides detailed analysis of the Healthcare and Medical market
LONDON, ENGLAND
Generic Drug Market in Canada
Canada represents one of the largest markets for pharmaceuticals in the world, with a huge potential for generics. In 2008, generics accounted for more than 51% prescriptions and around 23% sales of the total pharmaceutical market. The Canadian generics market is benefitting from several factors such as patent expiry of several blockbuster drugs, lower costs, cost containment measures by the government and rapidly ageing population, according to "Generic Drug Market in Canada", a comprehensive market research report by RNCOS.
The report thoroughly evaluates factors that distinguish Canada from other generics markets both in positive and negative ways. A major factor that differentiates the Canadian generics market from the US and most European markets is comparatively higher prices of generics and lower price erosion. As this characteristic of the market allows manufacturers to fetch better margins from their drugs, many foreign players have shown keen interest to enter the Canadian generics market to make most of this lucrative characteristic.
At present, drugs to treat chronic diseases account for most of the pharmaceutical market, with cardiovascular drugs holding the top spot. However, strong growth is expected in other chronic segments, particularly in cancer and diabetes.
Although the Canadian generics market has huge growth potential, recent government regulations and various other challenges can significantly hamper the development of the market. However, low cost of generics and billion dollar drug patent expiries will enable the generics market to continue its double-digit growth in the next five years.