Saudi Arabia
pharmaceutical market is expected to grow at a significant CAGR in the forecast
period. The rise in the prevalence of lifestyle diseases owing to the adoption
of a sedentary lifestyle thereby leaving less time for physical activities. The
surge in consumption of junk food and high sugar-containing food items and
beverages is affecting the health of consumers adversely. The development of
healthcare infrastructure and the increase in efforts by the leading
authorities for technological up-gradation of the existing system is fostering
the growth of the pharmaceutical market. An increase in awareness among the
consumers regarding the health insurance plans and reimbursement policies is
aiding in increasing the demand for quality healthcare treatment services which
in turn is fueling the pharmaceutical market growth in the next five years.
Additionally, an
increase in the occurrence of non-communicable diseases requiring drug
prescription for treatment is fueling the demand for the pharmaceutical market.
The rise in disposable income among middle-class families is increasing the
expenditure capacity of consumers to afford branded pharmaceutical drugs. The
rise in initiatives taken by the government to promote foreign direct
investment for the development of the pharmaceutical sector and privatization
of the hospitals is influencing the pharmaceutical market growth.
Moreover, the changes
in lifestyle preferences and prevalence of circulatory disorders are the major
driver for the growth of this segment. Also, the increase in the occurrence of
sugar level disorder is fueling the occurrence of diabetes among the
individuals which is a major reason responsible for the growth of
cardiovascular disorders in the region.
Rising
prevalence of chronic diseases
In Saudi
Arabia, hypertension, diabetes, obesity, heart diseases, and asthma are
reported as the common chronic diseases. The rising prevalence of diabetes and
cancer in both male and female Arab populations is predicted to boost the Saudi
Arabia pharmaceutical pharmaceuticals market throughout the forecast period. According
to the World Health Organization (WHO), Saudi Arabia has the second highest
diabetes prevalence rate in the Middle East region and the seventh highest
diabetes prevalence rate in the world. Moreover, according to Global
Cancer Observatory, in 2020, around 27,885 new cancer cases were reported in
Saudi Arabia. Breast Cancer, Thyroid Cancer, Colorectum Cancer, Prostate
Cancer and Leukemia Cancer were the most prevalent types of cancer cases
reported in 2020. It is believed that around 7 million individuals are
diabetic, with an additional 3 million having pre-diabetes. According to
some research studies, in Saudi Arabia, NCDs are responsible for 73% of all
deaths. Cardiovascular diseases are the leading cause of chronic deaths,
accounting for 37% of total deaths, followed by cancer at 10%, then diabetes at
3%, respiratory diseases at 3% and other NCDs at 20%. According to a report by
the International Diabetes Federation, the prevalence of diabetes in Saudi
Arabia is one of the highest in the world, with around 17.7% of the population
affected by the disease. This rise in chronic diseases has led to an increased
demand for medicines and healthcare services, driving growth in the
pharmaceutical market.
Rapid
improvement in healthcare sector
The Saudi
Arabia Government and several multinational companies are working together to
improve the healthcare sector. For instance, in 2019, the Saudi Arabian General
Investment Authority (SAGIA) and a British pharmaceutical company
GlaxoSmithKline signed a local agreement to improve its production capacity as
soon as possible, and relatively produce a variety of Saudi-related employment.
Additionally, the Saudi Ministry of Health (MoH) provides an integrated network
of health-care services covering all regions of the Kingdom. The MoH in Saudi
Arabia developed a plan to improve health information system (HIS) within all
health-care organizations and facilities. The Saudi Arabian government
has implemented several initiatives to encourage growth in the pharmaceutical
market. For instance, in 2017, the Saudi Food and Drug Authority (SFDA)
launched the Saudi Drug Index, an online database of approved drugs in the
country. The database provides information on the approved drugs' prices,
indications, dosage, and adverse effects, making it easier for healthcare
professionals and patients to access and use the medicines. The government has
also been investing in research and development to promote innovation and
increase the production of locally made pharmaceuticals products for the
overall growth of Saudi Arabia Pharmaceuticals Market.
Recent
Developments
The development of new products and new technologies and several
mergers or acquisitions of the market players are rising interest to the growth
of the market. For instance, in June 2022, a Gulf
Pharmaceutical Industries PJSC Julphar and Hangzhou Zhongmei Huadong
Pharmaceutical Co., Ltd, a wholly owned subsidiary of Huadong Medicine Co.,
Ltd, announced a strategic collaboration in which Julphar will develop,
manufacture, and commercialize Liraglutide (including both indications of
diabetes and obesity) in 17 Middle East and North Africa (MENA) countries such
as the UAE, Saudi Arabia, Egypt, Kuwait, Oman, Bahrain, and others.
Additionally,
in December 2021, a leading Saudi pharmaceutical company namely Tabuk
Pharmaceutical Manufacturing Company, and a leading Chinese innovation-driven
pharmaceutical company namely Jiangsu Hansoh Pharmaceutical Group Co., Ltd.,
have announced an agreement to commercialize several oncology and specialty
products in Saudi Arabia and other Middle Eastern markets. Tabuk
Pharmaceuticals will have exclusive rights to hold the marketing authorization
for these pharmaceuticals, responsible for registering, importing, and
promoting medications in Saudi Arabia and Middle Eastern nations under the
conditions of this agreement. In March 2020, the Ministry of Health of Saudi
Arabia signed a memorandum of
understanding
with Sanofi to start localizing and transferring insulin technology in the
kingdom.
Additionally,
in September 2019, a South Korean pharmaceutical company namely Celltrion Inc.,
launched its breast and gastric cancer biosimilar drug ‘Herzuma’ in Iraq. The
drug was also launched in Jordan, Israel, the United Arab Emirates, Saudi
Arabia, and Morocco.
Hence, the key players are involved in launching new drugs, which is expected
to propel the growth of the market over the forecast period.
Dependency on
imports to hinder market growth
Saudi Arabia
market growth is expected to hinder in the forecasted period due to increased
drug recalls and withdrawals by the Saudi Ministry of Health (MOH). For
instance, in August 2019, a Saudi Arabian based company namely Julphar recalled
a single batch of Laxocodyl suppository (10mg) due to owing a labeling error on
the blister pack. Laxocodyl is used to relieve constipation in adults, but
the label of batch 0093's blister pack falsely indicated that the medicine is
for children. Therefore, with collaboration of the UAE Ministry of Health and
Prevention, the business issued an urgent recall notice and worked with its
distributors to guarantee that all boxes in the designated batch were returned.
The population of Saudi Arabia relies heavily on pharmaceutical imports. Saudi
Arabia imports around 80% of its medications from other nations. For
instance, according to the International Trade Administration's (ITA) latest
data on exports in October 2019, Saudi Arabia accounted for 59.4% of Gulf
pharmaceutical purchases. Therefore, the above-mentioned factors are likely
to hinder the growth of the Saudi Arabia pharmaceutical drugs market.
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Market Segmentation
Saudi Arabia Pharmaceutical Market is segmented based on drug type, product type, application, distribution channel, region, and company. Based on drug type, market is further bifurcated into generic drugs, branded drugs. Based on product type, the market is further segmented into prescription drugs, over-the-counter drugs. Based on application, the market is segmented into cardiovascular, musculoskeletal, oncology, anti-infective, metabolic disorder, others. Based on distribution channel, the market is bifurcated into retail pharmacy, hospital pharmacy, e-pharmacy.
Market Players
The major players operating on the pharmaceutical market are Novartis Saudi Arabia, Pfizer Saudi Limited, Glenmark Pharmaceuticals Saudi Arabia, Saudi Pharmaceutical Industries & Medical Appliances Corporation (SPIMACO), Tabuk Pharmaceuticals Manufacturing Co., Jamjoom Pharmaceuticals Co, Julphar Pharmaceuticals, GlaxoSmithKline Saudi Arabia Limited, Baxter Company Limited (BCL) Saudi Arabia, AstraZeneca Saudi Arabia, and others. Major companies are developing advanced technologies and launching new services to stay competitive in the market. Other competitive strategies include mergers & acquisitions and new service developments.
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Attribute
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Details
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Base Year
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2022
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Historical Data
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2018 – 2022
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Estimated Year
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2023
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Forecast Period
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2024 – 2028
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Quantitative Units
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Revenue in USD Million and
CAGR for 2018-2022 and 2023E-2028F
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Report coverage
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Revenue forecast, company share, competitive landscape, growth
factors, and trends
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Segments covered
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·
Drug Type
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Product Type
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Application
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End User
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Region
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Company
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Regional scope
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Western Region, Northern & Central Region, Eastern Region,
Southern Region
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Key companies profiled
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Novartis Saudi Arabia, Pfizer Saudi
Limited, Glenmark Pharmaceuticals Saudi Arabia, Saudi Pharmaceutical
Industries & Medical Appliances Corporation (SPIMACO), Tabuk
Pharmaceuticals Manufacturing Co., Jamjoom Pharmaceuticals Co, Julphar
Pharmaceuticals, GlaxoSmithKline Saudi Arabia Limited, Baxter Company Limited
(BCL) Saudi Arabia, AstraZeneca Saudi Arabia.
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Customization scope
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10% free report customization with purchase. Addition or
alteration to country, regional & segment scope.
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Pricing and purchase options
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Avail customized purchase options to meet your exact research
needs. Explore purchase options
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Delivery Format
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PDF and Excel through Email (We can also provide the editable
version of the report in PPT/Word format on special request)
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Report Scope:
In this report, Saudi Arabia pharmaceutical
market has been segmented into following categories, in addition to the
industry trends which have also been detailed below:
- Saudi Arabia Pharmaceutical Market, By Drug Type:
- Generic Drugs
- Branded Drugs
- Saudi Arabia Pharmaceutical Market, By Product
Type:
- Prescription Drugs
- Over-The-Counter Drugs
- Saudi Arabia Pharmaceutical Market, By Application:
- Cardiovascular
- Musculoskeletal
- Oncology
- Anti-infective
- Metabolic Disorder
- Others
- Saudi Arabia Pharmaceutical Market, By End User:
- Retail Pharmacy
- Hospital Pharmacy
- E-Pharmacy
- Saudi Arabia Pharmaceutical Market, By Region:
- Western Region
- Northern & Central Region
- Eastern Region
- Southern Region
Competitive
Landscape
Company Profiles: Detailed analysis of the
major companies present in Saudi Arabia pharmaceutical market.
Available
Customizations:
With the given market data, TechSci
Research offers customizations according to a company’s specific needs. The
following customization options are available for the report:
Company Information
- Detailed analysis and
profiling of additional market players (up to five).
Saudi Arabia pharmaceutical market is an upcoming report to be released soon. If you wish an early delivery of this report or want to confirm the date of release, please contact us at [email protected]