Boom in Europe seen.
LONDON -- The market for generic drugs in Europe is expected to rise sharply over the next six years, as an aging population and increasing health care costs drive demand for less-expensive medicines and the expiration of patented drugs opens the way for generic equivalents.
In a report released in July the consulting firm Frost & Sullivan Inc. forecasts that the European generic drug market will reach $35.9 billion in 2013, nearly double the $17.18 billion spent by Europeans on generics last year.
The report points out that the major challenge facing several countries in Europe is to establish a sustainable health care model in which generics can provide savings to payers and innovative drugs can provide a fair rate of return to manufacturers.
The European generics market is highly competitive, which has added pressure on the pharmaceutical industry to develop new and innovative drugs.
So far the cost savings that have resulted from generics have enabled governments to reimburse pharmaceutical companies on those development costs, the study says.
Pricing and reimbursement, because they have a direct bearing on health care costs, are critical to the generics market.
The report points out that European countries that offer incentives to pharmacists and physicians to prescribe generic medications would have a large impact on the market.
The European markets for generic drugs broadly fall into two categories: such free markets as the United Kingdom and Germany, which are the two largest markets in Europe in terms of absolute value; and price-regulated markets, including France, Spain and Italy.
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|Title Annotation:||RX RETAIL PHARMACY: Generic Drugs; overview on european drug market|
|Comment:||Boom in Europe seen.(RX RETAIL PHARMACY: Generic Drugs)(overview on european drug market)|
|Publication:||Chain Drug Review|
|Date:||Aug 20, 2007|
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