The total pharmaceutical market in the Philippines will be valued at $4.17 billion (P216 billion) by 2024 as consumer health expenditure continues to rise, growing an average of 11 percent annually the past three years.
As of the third quarter of 2021 alone, pharmaceutical sales stood at P223 billion, largely due to expenditures related to the new coronavirus disease 2019 (COVID-19).
This makes the Philippines an attractive pharmaceutical market, according to Ceferino Rodolfo, managing head of the Board of Investments (BOI).
Speaking at the Pharmaceutical Manufacturers Association’s (PPMA) general membership meeting in Mandaluyong City recently, Rodolfo said the Philippines ranked as the 11th most attractive pharmaceuticals market based on the 2019 report of BioSpectrum Asia Magazine.
But while the pharmaceutical market is dominated by a few key players in almost the entire value chain — from production to distribution and retail – mostly multinational companies which account for more than half the total value of sales (56.5 percent) — local companies are now posting strong competition, specifically in the sale of generic drugs, Rodolfo said.
Rodolfo said government will support the pharmaceutical industry value chain, as its exports have not grown as fast as those in neighboring countries.
The BOI is also focused on the research and development and supply chain development of the priority herbal plants as the Philippines has been making significant progress in developing nature-based products. Herbal drugs for COVID-19 and dengue are being developed by the industry, while active pharmaceutical ingredients in herbal drug products such as lagundi and sambong, are being produced locally. – Irma Isip
