The Vietnam Pharmaceuticals & Healthcare Report Provides Independent Forecasts and Competitive Intelligence on Vietnams Pharmaceuticals & Healthcare Industry.

DUBLIN, Ireland -- Research and Markets (http://www.researchandmarkets.com/reports/c57777) has announced the addition of "Vietnam Pharmaceuticals & Healthcare Report Q4 2006" to their offering.

The Vietnamese pharmaceutical market has significant growth potential, due to a sizeable population and a low per-capita medicines spending of less than US$10 per year. As the newly released Vietnam Pharmaceuticals & Healthcare report cautions, it is important for the industry to improve production standards, especially now the country has joined the World Trade Organisation (WTO), increasing foreign competition in the drug sector.

Domestic producers are already seeing sales erode by higher-quality foreign imports, and many will struggle to survive in the new operating environment. With improvements to the intellectual property regime, 'unauthorised' generics will also be phased out, further placing pressure on indigenous producers. However, due to traditionally lax IP enforcement, many of these firms may gain a stay of execution. BMI takes the view that removing market access barriers will benefit the drug sector in the long run, as foreign investment will increase and the extra competition should have a galvanising affect on local drug manufacturers.

The Vietnamese government is investing in the health sector and has recently announced a scheme expanding the healthcare network throughout out the country. This will include the establishment of hospitals in more remote areas as well as investment in drug production. Vietnam has also agreed to a two-year plan with Bulgaria to study each other's processes in the areas of public health, outpatient care, food security and medical education. In a groundbreaking development for emerging markets, the cooperation will enable the exchange of Bulgarian and Vietnamese patients, who would have the opportunity to seek remedy in the country that can offer better treatment for their illness. BMI's adjusted Business Environment Rankings for Asia reveal that Vietnam is in 13th place, ahead only of Pakistan. This is primarily due to the country's poor regulatory system, coupled with sluggish market growth. Vietnam's drug market is still in its infancy with per-capita spending on drugs among the

lowest in the region and while this does represent opportunities, a majority of the population remains unable to afford even the most basic healthcare.

Foreign investment is growing in the sector. In December 2005, 100 foreign enterprises had received licences for medical equipment and pharmaceutical investment, with the total proposed capital investment reaching US$800mn. Most interest was received from firms based in South Korea, followed by the UK and France. The approval of a patent for Pfizer's erectile dysfunction treatment Viagra (sildenafil) in May 2006 is an encouraging signal, and should attract more foreign R&D-based firms.

Topics Covered:

- Vietnam: Business Environment Rankings

- Market Summary

- Regulatory Regime

- Industry Trends & Developments

- Industry Forecast Scenario

- Competitive Landscape

- Company Profiles

- BMI Forecast Modelling

- Appendix: Regional Demographic Data

- Country Snapshot: Vietnam Demographic Data

Companies Mentioned:

-Pfizer

-GlaxoSmithKline

-Sanofi-Aventis

-Novartis

-Merck & Co

-Vietnam Pharmaceutical Corporation (Vinapharm)

-Vietnam OPV Pharmaceutical Co

For more information, visit http://www.researchandmarkets.com/reports/c57777