2007 2008 2009

Total Market 678 773 849

Size

Total Local 327 371 408

Production

Total Exports 28 27 31

Total Imports 379 429 427

The pharmaceutical market in the Philippines
continues to grow, driven by population
growth and steady economic
improvement. As illustrated above, imports of
pharmaceutical products to the Philippines
rose from $379 million to $429 million from
2007 to 2008. Drug companies attributed the
increase to continued demand for over-the-
counter (OTC) and prescription drugs for the
maintenance and treatment of diseases with
high incidence in the Philippines, including
hypertension. For the foreseeable future, the
pharmaceutical market is expected to grow by
10% per year.
4 Due to its status as a developing country,
the Philippines will continue to battle
poverty-related diseases, such as
respiratory tract infections, for the
foreseeable future.

4 Statistical data on local production is

estimated. Industry experts report growing
activity in local plants as a result of the
GRP¶s commitment to make pharmaceutical
products affordable to the masses.
4 The leading sources of pharmaceutical
products in 2008 were Switzerland (15%),
Australia (11%), France (11%), and Germany
(10%). U.S. market share was 6%. 85% of
pharmaceutical products are sold through
drug stores, while 15% are distributed to end
users through hospitals and doctors¶ clinics.

4 U.S. pharmaceuticals continue to have

strong market presence, because they are
well known in the market. The Philippine
Bureau of Food and Drugs (BFAD) has
adopted a system of drug review and
approval patterned after the U.S. FDA.
4 Drug retailing is among the most profitable
businesses in the country. As in previous
years, pharmaceutical prices did not
increase as fast as the consumer price
index as a result of demand and
competition among market players.
BEST PROSPECTS /
SERVICES
In addition to drugs to combat hypertension,
respiratory and cardiac ailments,
opportunities exist for U.S. companies in
following OTC, prescription and supply
categories:

· Heparin and its salts, as well as other

human/animal substances prepared for the
therapeutic or prophylactic uses;

· Vaccines for veterinary medicine;

· Human/animal blood for therapeutic
/anti allergenic preparations, toxins,
cultures of microorganisms, and similar
products (excluding yeast);

· Medicaments consisting of 2 or
more constituents mixed together, as well
as medicaments containing adrenal cortex
hormones (but not containing antibiotics).
OPPORTUNITIES

4 Factors that continue to spur demand for

pharmaceutical products are increasing
rates of common ailments among
Filipinos. These include hypertension,
cardiac problems, respiratory ailments,
and kidney problems.

4 Hypertension and kidney failure are

results of a poor diet and the Filipinos'
preference for salty foods.