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Colombian pharma market to break $7 billion by 2020

pharmafile | October 24, 2016 | News story | Business Services, Manufacturing and Production, Research and Development, Sales and Marketing Colombia, market report 

According to new findings from GlobalData, the Colombian pharmaceutical market is due to grow from $5 billion in 2015 to $7.1 billion by 2020, a compound annual growth rate (CAGR) of 7.3%.

Numerous reasons have been put forward as explanation for the proposed growth. The country has signed Free Trade Agreements (FTAs) with El Salvador, Guatemala, Chile, Honduras, Switzerland, Canada and recently the US. It has also signed trade agreements with European Free Trade Association nations, which include Liechtenstein, Norway and Iceland and begun negotiations with Japan, Turkey, South Korea and Panama.

Colombia is also becoming something of a hub for clinical trial research, with the number of trials executed in the region taking a sharp rise in recent years. Thanks to the low-cost of hosting trials in the country and a base of highly-trained biomedical researchers, Colombia is now drawing interest for trials which would normally be held in Argentina or Mexico.  

Due to an increased disease burden, the country has also seen an increase in drug consumption, while government initiatives have been contributing to growth; besides the focus placed on securing trade agreements, the government has also been promoting generic drug use, a small and unexplored section of the market. Focus on this area promises to yield a reduction in healthcare spending by attracting the interests of major multinational generics manufacturers.

Matt Fellows

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