Argentina's pharmaceutical market is expected to grow from a value of around US$5.6 billion in 2012 to US$15 billion by 2020, thanks to a strong presence of domestic laboratories, high-quality manufacturing capabilities and favorable clinical trial regulations. Domestic laboratories account for over 50% of the Argentine pharmaceutical market. Key domestic companies include Roemmers and Bagó, while multinationals such as Bayer, Novartis, Roche, Abbott and GlaxoSmithkline (GSK) also operate in the country.
The trend towards domestic pharma production has existed for several decades in Argentina. Local players are provided with government benefits such as favorable tariff protection, while raw material import costs historically undercut the transfer pricing generally applicable for multinationals. This gives domestic players a competitive advantage in Argentina.
The Argentine government enacted a law as part of the Health Emergency Act, enforcing physicians to include generic names of prescribed products, enabling pharmacies to use generic substitution. The resultant increase in generic sales led to the growth of Argentine generic drug manufacturers.
Argentina's regulations governing intellectual property rights have also historically provided a distinct advantage to domestic companies, who were free to manufacture and sell products similar to patented versions. However, since Argentina became a signatory of Trade Related Intellectual Property rights (TRIPS) and General Agreement on Tariffs and Trade (GATT), local manufacturers could be negatively affected by restrictions on the manufacture and sale of patented products.
For more information on the Argentina pharmaceuticals market, please click here: Argentina pharmaceuticals market
Companiesandmarkets.com issues news updates and report summaries covering all major industries and sectors. The service provides additional client monitoring and timely alerts to breaking industry and sector news leading the day's business headlines. News articles, written by our staff, contain additional analyst insight, providing value added insight for our readers. News updates and real-time alerts on newly-released market reports are also available from our Facebook page, Twitter feed @CandMResearch and RSS links. We also welcome inquiries from business journalists and the news media.