Serbia Pharmaceuticals and Healthcare Report Q4 2008

Summary

BMI calculates that the value of pharmaceuticals sold in Serbia reached US$1.17bn in 2007. Patented products accounted for almost 50% of the market (US$569mn), followed by overthecounter (OTC) medicines (US$325mn) and generic drugs (US$279mn). Through to 2012, we are forecasting a compound annual growth rate (CAGR) of 12.64%.

According to ALiMS data, in 2007, public spending on medicines and medical care was in the region of RD145bn (EUR1.82bn), with public healthcare facilities receiving RSD135.2bn for medical services and pharmaceuticals dispensed. Primary care accounted for around 24% of the total cost, with secondary and tertiary care accounting for 48.5% of the total. Prescription pharmaceuticals dispensed to the insured represented a cost of RSD18.35bn, or some 13.57% of the total cost of healthcare insurance, or 12.72% of the total healthcare spending. Dialysis was one of the largest areas of need, with around 2.36% of the total healthcare expenditure spent on such services.

Total healthcare expenditure in Serbia was severely affected by the dissolution of Yugoslavia in the 1990s, leaving many healthcare facilities in very poor condition by the turn of the century. An EU assessment at this time found that most hospital equipment was over 20 years old and as a result it, along with several individual countries, provided funding to help improve standards. Perishable medical equipment, such as syringes, is more often than not purchased at patients' personal expense in Serbia, which has significantly constrained market growth. Additionally, most of the equipment is old and outdated, with many modern products not registered in the country.

The prescription drug market segment is dominant, illustrating the traditional reliance on hospitals and doctors as healthcare providers In 2007, prescription medicines accounted for an estimated 87.3% of the total market by value, with this figure expected to fall to just under 85% by the end of 2012. Continued pressure on prices and the encouragement of the OTC sector will be major reasons for this loss of market share.

Contents

• Executive Summary
• Serbia Pharmaceuticals And Healthcare Industry SWOT
• Serbia Political SWOT
• Serbia Economic SWOT
• Serbia Business Environment SWOT
• Pharmaceutical Business Environment Ratings
• Limits Of Potential Returns
• Risks To Realisation Of Returns
• Market Summary
• Regulatory Regime
• Intellectual Property Environment
• IP Disputes
• Pricing Regime
• Reimbursement Regime
• Price Cuts
• Price Rises
• Industry Trends And Developments
• Epidemiology
• Healthcare Sector
• Healthcare Insurance
• Healthcare Reforms
• Medical Tourism
• Pharmaceutical Sector
• Pharmaceutical Wholesale and Retail
• Domestic Pharmaceutical Industry
• Domestic Company Activities
• Foreign Pharmaceutical Industry
• Foreign Company Activities
• Stada Sales vs Generic Market Growth
• Clinical Trials
• Medical Devices
• Medical Device Classification In Serbia
• Industry Forecast Scenario
• Overall Market Forecast
• Key Growth Factors Industry
• Key Growth Factors Macroeconomic
• Prescription Market Forecast
• OTC Market Forecast
• Patented Market Forecast
• Generics Market Forecast
• Export/Import Forecasts
• Other Healthcare Data Forecasts
• Key Risks To BMIs Forecast Scenario
• Competitive Landscape
• Company Monitor
• Multinational Company Profiles
• Pfizer
• GlaxoSmithKline
• Novartis
• SanofiAventis
• Merck & Co
• Indigenous Company Profiles
• Hemofarm (Stada)
• Galenika
• Zdravlje Actavis
• Jugoremedija
• BMI Forecast Modelling
• How We Generate Our Pharmaceutical Industry Forecasts
• Pharmaceutical Business Environment Ratings Methodology
• Ratings Overview
• Weighting
• Sources
• List of Tables
  • Table: Pharmaceutical Business Environment Rankings
  • Table: Top 10 Causes Of Death In Serbia And Montenegro
  • Table Serbia Major General and Specialised Hospitals
  • Table: Cosmetic Surgery Costs
  • Table: Proposed Members Of Serbia's Pharmaceutical Industry Association
  • Table: Number Of Ongoing Clinical Trials In Serbia
  • Table: Serbia Medical Device Market Forecast
  • Table: Serbia Drug Expenditure And Prescription Market Indicators, 20042012 (RSDmn unless otherwise stated)
  • Table: Serbia Health Expenditure Indicators, 20042012 (RSDmn unless otherwise stated)
  • Table: Serbia Economic Activity
  • Table: Serbia Prescription Market Indicators, 20042012 (RSDmn unless otherwise stated)
  • Table: Serbia OTC Market Indicators, 20042012 (RSDmn unless otherwise stated)
  • Table: Serbia Patented Market Indicators, 20042012 (RSDmn unless otherwise stated)
  • Table: Serbia Generics Market Indicators, 20042012 (RSDmn unless otherwise stated)
  • Table: Serbia Pharmaceutical Trade Indicators, 20042012 (RSDmn unless otherwise stated)
  • Table: Serbia Other Healthcare Indicators, 20042012 (RSDmn unless otherwise stated)
  • Table: Companies Involved In The Serbian Pharmaceutical Industry
  • Table: Market Share By Therapeutic Group, 2004
  • Table Competitive Landscape in Serbia
  • Table Serbia Defined Daily Dose (DDD) per 1,000 Inhabitants
  • Table: Pharmaceutical Business Environment Indicators
  • Table: Weighting Of Components