Rise & Growth Of Pharma Distributors in the Middle East
THE OVERVIEW OF THE PHARMA MARKET IN THE MENA REGION
The pharmaceutical sector in the Middle East and North Africa (MENA) has seen remarkable growth over the last few years and is estimated to reach around US$60 billion by 2025. With approx 22 countries and over 350 million inhabitants, the MENA pharmaceutical market was worth $36 billion in 2016, which represented 2% of the global market.
A number of well-established pharma companies are manufacturing and distributing pharmaceuticals in the UAE pertaining to the well-developed infrastructure and growth opportunities.
Saudi Arabia’s pharmaceutical market was estimated to be worth $10.19 billion in 2021 and is expected to grow at an annual rate of 7.3% over the next six years.
Throughout 2020 many well-known brands have entered the Saudi Arabian market.
Takeda, the Japanese drug giant is now aiming to boost sales focusing on areas such as Oncology, Gastroenterology & Plasma Derived Therapies.
In addition to this, the opening of the Dubai Silk Route makes UAE a lucrative source in the supply chain, manufacturing and exporting pharmaceuticals to the high-demand markets such as Africa & Asia. The production of medicines in the Dubai Science Park covers medication targeting cardiovascular diseases, psychiatric and neurological disorders, and gastroenterological diseases.
Another part of the Middle-East region that has a strong established pharmaceutical market at the moment is Israel. According to a study by global data, the market has been projected to grow to $2.12 billion by 2020, at a compound annual growth rate of 3.9%. Advancing biotech will be the major growth driver for this region.
Thus, the MENA region is highly lucrative for the manufacturing, distribution, and marketing of Pharma products.
Now that we know about the growth prospects of this region, let’s have a comprehensive look at the growth opportunities too.
MAJOR GROWTH DRIVERS & OPPORTUNITIES
The major drivers of UAE’s tremendous growth in the pharmaceutical market have been increased focus on the well-being of the population, scientific advances in product innovation, and an increase in the pharma distributors in the Middle East.
The niche markets like halal pharmaceuticals, m health, and the development of orphan medicines could provide potential opportunities across the pharmaceutical value chain. UAE businesses could specialize in the development of these kinds of medicines, other businesses could also potentially benefit from local distribution and sales of newly developed medicines in the UAE market.
On the demand side rise in the population and net income have led to an increase in the demand for pharmaceutical products. On the supply side, scientific advances have led to the manufacturing of products to treat illnesses.
DISTRIBUTION COMPLIANCE IN THE INDUSTRY
The pharma brands are bound by strict compliance to regulate the distribution of safe pharmaceuticals in the MENA region.
A foreign manufacturer is required to have :
- A local presence in the market
- Appoint a local agent in the country
Due to the lack of local presence in the region, most foreign brands are unable to obtain product registration required in the country or any other necessary approvals for distribution.
As per the UAE federal law, no medicine or pharmaceutical product can be circulated in the market without registration from the Ministry of Health & Prevention. The application for registration must be made by the market authorization holder from the country of origin, jointly with the local authorized representative.
The local authorized representative must be explicitly designated by the foreign manufacturer to act in the UAE on behalf of the manufacturer with regard to the manufacturer’s legal obligations and responsibilities.
Thus, the local representative must have a strong foothold in the MENA region and be well-equipped with the know-how of the processes to facilitate the successful distribution of pharma products.
Pharma Solutions is a UAE-based pharmaceutical platform with commercial activities in 14+ countries of the GCC & MENA region. We have extremely strong connections and extensive knowledge in the pharmaceutical domain.
From compliance to licensing, distribution, and marketing, we handhold all the pharmaceutical companies who are trying to penetrate the MENA or GCC region.
We have already partnered with many global pharma brands to bring innovative products to the market and successfully facilitated their distribution in the area.
If you are looking for a local force to assist you in popularizing your brand in the MENA & GCC region, then reach out to us. Being the top pharmaceutical distributor in the Middle East region, we will take care of end-to-end activities for you.
To know more, visit: https://www.pharmasolutions-int.com/
