Wednesday 7 October 2015

Pharma in Malaysia to grow in the double digits

Overall, a vibrant economy, swelling patient pool and solid government backing are boosting the prospects of pharmaceutical companies in Malaysia, as well as creating opportunities for foreign investors seeking to establish a footprint in the country, says a new analysis from Frost & Sullivan, Analysis of the Pharmaceutical Market in MalaysiaThe pharmaceutical market is expected to demonstrate double-digit growth rates from 2010 to 2020 due to a prospering economy, improved drug regulations, wider healthcare provision, medical tourism and modernisation.

Furthermore, the Malaysian pharmaceutical market is bolstered by its reputation as one of the world's leading exporters of halal ingredients required in various industries, says the research firm. This has placed it on path to becoming a top global participant in the manufacture and certification of halal medicines.
The government has thrown its weight behind the market with the Entry Project Point (EPP3) under the Healthcare National Key Economic Area (NKEA). This flexible regulatory landscape enhances the scope for both local and international investment in the pharmaceutical market.

"Malaysia is emerging a hot favorite among investors in the pharmaceutical market due to its expanding population base and the increasing life expectancy of its citizens," remarked Frost & Sullivan Healthcare Research Analyst Rageshwary Ramupillai. "Indeed, the growing number of people aged 65 and above is intensifying the demand for quality healthcare services in the country.

"While on the one hand, the policies under the Healthcare NKEA encourage Malaysian companies to make and export generic drugs, on the other, the protection of the local drug manufacturing companies hinders the entry of foreign players. Therefore, partnerships with the domestic drug manufacturers and distributors along with acquisitions are important for a quick entry to the market."