Research and Markets: Japan Pharmaceuticals and Healthcare Report Q2 2010

DUBLIN--(Business Wire)--
Research and Markets
(http://www.researchandmarkets.com/research/d6e537/japan_pharmaceutic) has
announced the addition of the "Japan Pharmaceuticals and Healthcare Report Q2
2010" report to their offering.

Japan Pharmaceuticals and Healthcare Report provides industry professionals and
strategists, corporate analysts, pharmaceutical associations, government
departments and regulatory bodies with independent forecasts and competitive
intelligence on Japan's pharmaceuticals and healthcare industry.

BMI forecasts that the value of Japanese pharmaceutical market at retail prices
will increase at a very modest compound annual growth rate (CAGR) of 1.25%, as
measured in local currency. However, when calculated in US dollars, growth will
fall into negative territory. The market will reach a value of JPY9,619bn
(US$87.45bn) in 2014, up from of JPY9,040.1bn (US$95.16bn) in 2009. Over our
longer, ten-year forecast, we expect the growth rate to drop to under 1% as
public purse-strings are tightened further.

Japan is looking to triple its generics sector by 2012. In 2009, generic drugs
represented an estimated 9.4% of the total market by value, with BMI forecasting
this share to increase to 15.5% in 2014, and further to 23.5% by the end of
2019.

Despite the low annual growth rate expected in the coming years, the Japanese
drug sector continues to benefit from a large relative (per-capita consumption
was estimated at almost US$750 in 2009) as well as absolute with its population
numbering over 127mn usage of medicines, Indeed, in our updated Q210 Business
Environment Ratings (BERs) table for the 15 key markets in the Asia Pacific
region, Japan regained its pole position, previously held by Australia.
Globally, Japan is ranked as the fourth most attractive market for multinational
drugmakers, after the US, Germany and Canada.

Opportunities in the generics sector are to be increasingly explored by foreign
companies, with Israeli generics specialist Teva and traditionally
research-based Pfizer recently reporting their plans for entry into the market.
In terms of other notable company news over the past quarter, Teva-Kowa Pharma,
a 50:50 joint venture (JV) between Teva and Japanese drugmaker Kowa, entered
into an agreement to acquire a majority stake in Taisho Pharmaceutical
Industries. The acquisition will help Teva-Kowa to achieve its growth plan in
Japan by bringing in local expertise and know-how. Earlier in the year, Teva-
Kowa announced its plans to start selling generic cancer drugs from January
2010. Leading Japanese drugmaker Takeda revealed that it would enter the South
American drug market via the acquisition of a generic drugmaker in the region,
though the company is yet to elaborate on any potential targets. Over the coming
five years, pharmaceutical imports will grow at a faster rate than exports
benefiting from regulatory and pricing environment improvements and result in an
expanding trade deficit through to 2014, with generic medicines making a major
impact in volume terms. The competitive nature of the multinational sectors
hi-tech imports will add to pressures on the pharmaceutical trade balance,
especially as the level of domestic research and development (R&D) industry
activity lags behind that in other major markets.

Companies Mentioned:

* Takeda Pharmaceutical Company
* Astellas
* Eisai
* Daiichi Sankyo
* Mitsubishi Tanabe
* Sawai Pharmaceutical
* Pfizer
* Sanofi-Aventis
* Merck & Co (Banyu)
* Novartis
* GlaxoSmithKline (GSK)
* AstraZeneca

For more information visit
http://www.researchandmarkets.com/research/d6e537/japan_pharmaceutic

Research and Markets
Laura Wood, Senior Manager,
press@researchandmarkets.com
U.S. Fax: 646-607-1907
Fax (outside U.S.): +353-1-481-1716

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