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Pharmaceutical Parallel Trade in the United Kingdom, 2000-2006

Market Insights and Trends in a Primary Import Destination

Publication Date   August 2006
Publisher   Spectra Intelligence
Product Type   Report
Pages   110
ISBN Number   not applicable
Product Code   SPE009
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Price £900.00

approximately: $1,554 | €1,143

Summary


The United Kingdom (UK) is the top destination for parallel imported drugs. Approximately 20% of all National Health Service (NHS) dispensed drugs are parallel imports and the market is estimated to be valued at over £1 billion (US$1.8 billion).

Importing drugs into the UK is highly attractive for several reasons:
• The relatively high prices of domestically supplied drugs compared with European counterparts
• Government incentives encouraging pharmacists to source and dispense parallel-traded drugs through the clawback scheme
• The legal and regulatory framework to import and redistribute drugs within the EU is centralized in the UK

This report introduces the reader to the scope of parallel trade in the UK based on therapy area analysis of PILs granted through a 7-year period and assessments of parallel import activities that impact on the domestic market.

Report key findings and highlights:

• Outlines the extent and impact of parallel importation in the UK
• In-depth analysis of import licence trends across 19 therapy areas
• Reviews factors driving growth of parallel trade in Europe and UK
• Analysis of over 12,000 parallel import licence approvals from 2000 to June 2006
• Provides insight into the actives most commonly targeted for importation
• Reveals multinational company portfolios most targeted for parallel importation
• Describes the advantages and disadvantages of parallel trade in Europe
• Provides an update on parallel importation trends in the UK over a 7-year period
• Shows difficulties in assessing true market value of the parallel trade sector
• Highlights the leading parallel importers in the UK
• Provides competitive intelligence on stakeholders in the parallel trade market
• Discusses the future of parallel trade in the UK
• Provides background data for customized market research and analysis in the UK parallel import market

Why buy this report

The reader will learn about:
• How parallel trade in Europe and the UK has evolved over the past decade
• What impact parallel trade has on stakeholders in the UK
• How import product areas are changing and why the product lines are expanding
• Evaluating the potential for new opportunities in parallel trade, hence stay one-step ahead of the game
• Benchmarking potential import-based portfolio losses or gains against competitors
• Which strategies are employed by pharmaceutical companies to combat parallel trade

Companies mentioned

3M HEALTH CARE, ABBOTT LABORATORIES, ALCON, ALLERGAN, ALLIANCE, ALPHARMA,ALTANA, AMDIPHARM/WAYMADE, ASTELLAS, ASTRAZENECA, BAYER, BOEHRINGER INGELHEIM,BOLTON, BRISTOL-MYERS SQUIBB, BRITANNIA, CEPHALON, CHEMIDEX, CHIRON, CLINIMED, CROOKES,DR FALK, EISAI, FERRING, FLYNN, GALDERMA, GALEN, GENUS, GLAXOSMITHKLINE, GOLDSHIELD, GRUNENTHAL, IVAX, JOHNSON & JOHNSON, KING, LEO, LILLY, LUNDBECK, MEDA, MENARINI, MERCK, MSD,NAPP, NORGINE, NOVARTIS, NOVO NORDISK, ORGANON, ORION, PFIZER, PIERRE FABRE, PLIVA,PROCTOR & GAMBLE, RECORDATI, ROCHE, SANKYO, SANOFI AVENTIS, SCHERING HC, SCHERING-PLOUGH, SCHWARZ, SERONO, SERVIER, SEVEN SEAS, SHIRE, SOLVAY, STIEFEL, TAKEDA, TRINITY-CHIESI,UCB,VALEANT,VIATRIS,WOCKHARDT, WYETH, ZENEUS.

Content


Executive Summary
Objectives of the Report
Research Methodology

Chapter 1. Introduction to Parallel Trade

Introduction to Parallel Trade
Parallel Trade Outside the European Economic Area
Parallel Trade in Europe
Parallel Trade and European Community Enlargement
Key Stakeholders
Parallel Trade: Advantages and Disadvantages
Salient Aspects of Success in Parallel Trade
Positive Price Differential
Selective Patient Populations
Selective Markets?
Format and Formulation
Pack Management
Factors Driving Parallel Trade in the European Union
Pricing Mechanisms in Europe
Pricing in the United Kingdom
Obstacles to Parallel Trade in Europe
Product Safety Issues
Anti-Parallel Trade Strategies in the European Union
Growth of Parallel Trade in Europe
Parallel Trade and Health Economics
Drivers of Growth in European Parallel Trade
Regulation of Parallel Trade in the United Kingdom
Parallel Trade Organizations and the United Kingdom
British Association of European Pharmaceutical Distributors (BAEPD)
European Association of Euro-Pharmaceutical Companies (EAEPC)

Chapter 2. Parallel Import Analysis by Therapy Area: United Kingdom

Analysis of Authorized Parallel Import Licences, 1995-2006
Parallel Import Approvals by Therapy Area
Analysis of Parallel Import Approvals by Drug Class and Active Ingredient
Allergy
Cardiovascular
Central Nervous System
Dermatology
Endocrine-Metabolic
Gastrointestinal
Genito-Urinary
Immune System
Infections
Musculoskeletal
Nutrition
Obstetrics and Gynaecology
Oncology
Ophthalmology
Pain
Respiratory
Sexual Disorders
Toxicology
Miscellaneous

Chapter 3. The Market for Parallel Importation in the United Kingdom

Pharmacists and Parallel Imports
Growth of Parallel Imports in the United Kingdom
The Euro and Currency Exchange Rates
Parallel Importers: Assessing Market Value
Pharmaceutical Companies Affected by Parallel Imports
Portfolio Analysis
The Future of Parallel Trade in the United Kingdom

List of Tables

Table 1.1 Countries of the European Economic Area (EEA) and Accession Countries
Table 1.2 Main Parallel Import and Export Countries
Table 1.3 Parallel Trade: Main Advantages and Disadvantages
Table 1.4 Anti-Parallel Trade Strategies
Table 1.5 Members of the British Association of European Pharmaceutical Distributors, 2006
Table 1.6 Members of the European Association of Euro-Pharmaceutical Companies, 2006
Table 2.1 Parallel Import Licences (PILs) Authorized in the United Kingdom, 1995-2006
Table 2.2 Authorized Importable Drug Formats in the United Kingdom by Therapy Area, 2000-2006
Table 2.3 Cardiovascular Drugs Approved for Parallel Importation in the United Kingdom, 2000-2006
Table 2.4 Central Nervous System Drugs Approved for Parallel Importation in the United Kingdom, 2000-2006
Table 2.5 Dermatology Drug Formats Approved for Parallel Importation in the United Kingdom, 2000-2006
Table 2.6 Anti-Infective Drug Formats Approved for Parallel Importation in the United Kingdom, 2000-2006
Table 2.7 Musculoskeletal Drug Formats Approved for Parallel Importation in the United Kingdom, 2000-2006
Table 2.8 Obstetric-Gynaecologic Drug Formats Approved for Parallel Importation in the United Kingdom, 2000-2006
Table 2.9 Oncology Drug Formats Approved for Parallel Importation in the United Kingdom, 2000-2006
Table 2.10 Ophthalmic Drug Formats Approved for Parallel Importation in the United Kingdom, 2000-2006
Table 2.11 Pain Based Drug Formats Approved for Parallel Importation in the United Kingdom, 2000-2006
Table 2.12 Respiratory Drug Formats Approved for Parallel Importation in the United Kingdom, 2000-2006
Table 3.1 Parallel Importers in the United Kingdom, 2000-2006
Table 3.2 Top 50 Parallel Traders in the United Kingdom Based on Import Licence Approvals, 2000-2006
Table 3.3 Annual Revenues of Parallel Importers in the United Kingdom (GB£)
Table 3.4 Pharmaceutical Companies Affected by Parallel Importation in the United Kingdom, 2000-2006

List of Figures

Figure 1.1 Factors Involved in the Success of Parallel Trade in Pharmaceuticals
Figure 1.2 Main Obstacles and Barriers in Pharmaceutical Parallel Trade
Figure 2.1 Trends of Parallel Import Licence (PIL) Approvals in the United Kingdom, 1995-2005
Figure 2.2 Ranking of Imported Actives in the United Kingdom by Therapy Area, 2000-2006
Figure 2.3 Allergy Drugs Approved for Parallel Importation in the United Kingdom, 2000-2006
Figure 2.4 Cardiovascular Drugs Approved for Importation by Licence Volume, 2000-2006
Figure 2.5 Percentage Share of Cardiovascular Based Import Licences by Drug Class, 2000-2006
Figure 2.6 Central Nervous System Drugs Approved for Importation by Licence Volume, 2000-2006
Figure 2.7 Percentage Share of Central Nervous System Based Import Licences by Drug Class, 2000-2006
Figure 2.8 Dermatology Drugs Approved for Importation by Licence Volume, 2000-2006
Figure 2.9 Percentage Share of Dermatology Based Import Licences by Drug Class, 2000-2006
Figure 2.10 Endocrine-Metabolic Drugs Approved for Parallel Importation in the United Kingdom, 2000-2006
Figure 2.11 Endocrine-Metabolic Drugs Approved for Importation by Licence Volume, 2000-2006
Figure 2.11 Gastrointestinal Drugs Approved for Parallel Importation in the United Kingdom, 2000-2006
Figure 2.12 Gastrointestinal Drugs Approved for Importation by Licence Volume, 2000-2006
Figure 2.13 Genito-Urinary Drugs Approved for Parallel Importation in the United Kingdom, 2000-2006
Figure 2.14 Genito-Urinary Drugs Approved for Importation by Licence Volume, 2000-2006
Figure 2.15 Immune System Drugs Approved for Parallel Importation in the United Kingdom, 2000-2006
Figure 2.16 Immune System Drugs Approved for Importation by Licence Volume, 2000-2006
Figure 2.17 Anti-Infectives Approved for Importation by Licence Volume, 2000-2006
Figure 2.18 Percentage Share of Anti-Infective Import Licences by Drug Class, 2000-2006
Figure 2.19 Musculoskeletal Drugs Approved for Importation by Licence Volume, 2000-2006
Figure 2.20 Percentage Share of Musculoskeletal Import Licences by Drug Class, 2000-2006
Figure 2.21 Obstetric-Gynaecologic Drugs Approved for Importation by Licence Volume, 2000-2006
Figure 2.22 Percentage Share of Obstetric-Gynaecologic Import Licences by Drug Class, 2000-2006
Figure 2.23 Oncology Drugs Approved for Importation by Licence Volume, 2000-2006
Figure 2.24 Percentage Share of Oncology Import Licences by Drug Class, 2000-2006
Figure 2.25 Ophthalmic Drugs Approved for Importation by Licence Volume, 2000-2006
Figure 2.26 Percentage Share of Ophthalmic Import Licences by Drug Class, 2000-2006
Figure 2.27 Pain Drugs Approved for Importation by Licence Volume, 2000-2006
Figure 2.28 Percentage Share of Pain Based Import Licences by Drug Class, 2000-2006
Figure 2.29 Respiratory Drugs Approved for Importation by Licence Volume, 2000-2006
Figure 2.30 Percentage Share of Respiratory Based Import Licences by Drug Class, 2000-2006
Figure 3.1 Multinational Pharmaceutical Companies Most Targeted by Parallel Importers, 2000-2006