World Pharma Market is about 1.9 Trillion US$ and most growth is seen in developed world


World Pharma Market is about 1.9
Trillion US$ and most growth
is seen in developed world
United States and Japan account for almost 70%
of the world pharma market - Dr. Musadik Malik
Pharma industry need to put more focus
on value rather than talking about prices

KARACHI: Currently the world pharmaceutical market was about 1.9 Trillion US dollars and most of the growth was coming from developed countries. United States and Japan account for almost 70% of the world pharma market. It has now changed the market value. China has now done well and they have a more progressive economic country. China is getting into complex market which is growing fast. There is arise in the East and there is lot of opportunities, technological options. This was stated by Dr. Musadik Malik Member Senate of Pakistan and Advisor to the former Prime Minister of Pakistan. He was delivering his Thematic Keynote lecture in the inaugural session of the Fourth Pakistan Pharma Summit organized by Pakistan Pharmaceutical Manufacturers Association (PPMA) here on April 24, 2019. Prof. M.Saeed Qureshi Vice Chancellor of Dow University of Health Sciences was the chief guest in the session.

Dr. Musadik Malik

Continuing Dr. Musadik Malik remarked that if we combine the population of China, India, Pakistan and Bangladesh, it is almost half of the world population and there is lot of opportunities. Speaking about Research and Development Dr. Musadik Malik remarked that there is lot of expansion in the market and especially it was under lot of focus. Criterion of retail are going down, retail business is going down. Returns in retail in China are very high. Now a digital revolution is taking place. Market is changing. What works in China will not work in United States. These days there is too much emphasis on creativity and patient outcome. Quality of life has become more important now. Only talks won’t be helpful and we have to look at patient outcome as it is the patients who have to pay. His advice to the pharmaceutical industry was that they must change their strategy and arguments otherwise they will fail. They need to put more focus on value rather than talking about prices. There has been decrease in manufacturing cost with the help of technology. You play on sales but not on marketing. He laid emphasis on focusing on patient centric market. Cost of developing and marketing a new safe and effective molecule has increased a lot and it may take from three to fourteen years. Developing a new molecule is an expensive business. There is lot of time variation in developing a new molecule. There are limited opportunities hence the pharma industry in Pakistan must wake up. You can do a lot but for that you need to change your thinking and concentrate on Healthcare Value Chain.

He then talked about Demand Healthcare system and ideal pharmaceutical industry and what will it take. Pay for performance and it should all be evidence based. He laid emphasis on patient centric performance driven strategies. Just look at Hepatitis-C which in the past meant a death warrant. Now it can not only be treated but almost cured. Now people are living longer and this means increase in geriatric diseases. In many countries now people are not retiring. Treating chronic diseases will be lot of value. Then he went on to talk about age related diseases. Regulators are becoming hyper active. The industry is going to be regulated the way we see in Pakistan. There will be more regulations, more managed care and all this will come to play in Pakistan. There are forces which malign the pharma industry and one has to be very vigilant. Now people can make choices. Patients are likely to negotiate with you as consumers. In the days to come the Drones may be used to deliver the drugs. Think critically as to what you can do. Previously it was said to ensure care but now it has moved to cure and then prevention of diseases. Move from care to prevention and then cure of the diseases. Nano technology, Biologicals, specific objectives, principles of biologics was discussed in detail. Yet another change, Dr. Musadik Malik remarked was coming in the field of genomics. This change will come with you or without you. His advice to the drug manufactures in Pakistan was to be a part of this change. Become a portfolio company and concentrate on virtual value chain.

Continuing Dr. Musadik Malik remarked that at present there was no coordination in the industry. We have not seen any mergers in Pakistani companies and we continue to operate with small companies. He urged the Pakistani drug manufactures not to think about their children but about values, creativity instead of concentrating on family businesses. Do not think, like it. Pakistani pharma industry is walking on the beaten track; hence you will be on wrong side of future. In the days to come virtual companies will have no chain? Provide services to the people restructure, rethink about pharma care with taking care of traditional work. Think of Investive strategy, complex generics, innovation in dosage and delivery systems, Create new therapeutic entities. Look at TEVA, CIPLA and Dr.Reddy’s. These are the generic manufactures and how much market they have captured. How they have become a success story, think about it, Dr. Musadik Malik concluded.