Boston, MA -- (ReleaseWire) -- 02/06/2013 -- The sharp drop in public pharmaceutical expenditure in Spain in the first four months of 2012 serves as a warning for the continuation of a fall in spending on medicines in the remainder of the year. BMI notes that this does not bode well for drugmakers selling their products in Spain as the success of the implemented policies may encourage the enforcement of further cost-containment measures, which, together with the ongoing public hospital debt situation, seriously hampers the country's attractiveness as a location in which to sell drugs, despite its favourable demographic characteristics.
Headline Expenditure Projections
View Full Report Details and Table of Contents
- Pharmaceuticals: EUR20.15bn (US$28.00bn) in 2011 to EUR18.34bn (US$23.30bn) in 2012; -9.0% in local currency terms and -16.8% in US dollar terms.
- Healthcare: EUR104.99bn (US$145.93bn) in 2011 to EUR105.51bn (US$133.99bn) in 2012; +0.5% in local currency terms and -8.2% in US dollar terms.
- Medical Devices: EUR4.32bn (US$6.01bn) in 2011 to EUR4.35bn (US$5.52bn) in 2011; +0.7% in local currency terms and -8.0% in US dollar terms.
Risk/Reward Ratings: In BMI's Pharmaceutical Risk/Reward Ratings (RRRs) for Q412, Spain is ranked eight among the 10 countries surveyed in Western Europe. While Spain offers investors positive factors, such as its large drug market, it also has problems, such as the government's focus on cost containment, low population growth, cumbersome bureaucracy and provincial differences regarding drug regulations and reimbursement.
Key Trends And Developments
- Government expenditure on medicines in Spain fell by 24% annually in July 2012, according to the health ministry. The Spanish government spent about US$885mn on medicines in July 2012 compared with about US$1.2bn in drug expenditure in July 2011. The number of prescription drugs produced in Spain in July 2012 also fell by 14.14% year-on-year (y-o-y), with average governmental spending on prescriptions decreasing by 11.41%. Notably, inflation increased by 2.2% and drug prices rose 36% during the period. The drop in public healthcare expenditure was attributed to severe austerity measures, particularly the mandatory patient co-payment scheme and revision of drug prices. The government withdrew 426 medicines worth about US$705mn from its basic co-payment list on July 1 2012.
About Fast Market Research
Fast Market Research is an online aggregator and distributor of market research and business information. Representing the world's top research publishers and analysts, we provide quick and easy access to the best competitive intelligence available. Our unbiased, expert staff will help you find the right research to fit your requirements and your budget. For more information about these or related research reports, please visit our website at http://www.fastmr.com or call us at 1.800.844.8156.
Browse all Healthcare research reports at Fast Market Research
You may also be interested in these related reports:
- United Arab Emirates Pharmaceuticals & Healthcare Report Q4 2012
- India Pharmaceuticals & Healthcare Report Q4 2012
- Lebanon Pharmaceuticals & Healthcare Report Q4 2012
- Cipher Pharmaceuticals Inc. (DND) - Pharmaceuticals & Healthcare - Deals and Alliances Profile
- Egypt Pharmaceuticals & Healthcare Report Q4 2012
- Lithuania Pharmaceuticals & Healthcare Report Q4 2012
- Peru Pharmaceuticals & Healthcare Report Q4 2012
- Singapore Pharmaceuticals & Healthcare Report Q4 2012
- Malaysia Pharmaceuticals & Healthcare Report Q4 2012
- Kuwait Pharmaceuticals & Healthcare Report Q4 2012