Research and Markets: Latvia Pharmaceuticals and Healthcare Report Q3 2009

DUBLIN--(Business Wire)--
Research and Markets
(http://www.researchandmarkets.com/research/83ad27/latvia_pharmaceuti) has
announced the addition of the "Latvia Pharmaceuticals and Healthcare Report Q3
2009" report to their offering.

Latvia 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 Latvia's pharmaceutical and healthcare industry

BMI calculates the Latvian pharmaceutical market to have been worth LVL256mn
(US$512mn) in 2008, and by 2013, drug expenditure is expected to reach a value
of LVL352mn. In US dollar terms, however, as a result of the weakening lat, drug
market spending will fall to US$428mn in 2009, before rising again to US$482mn
in 2013 (a figure below the 2008 market value).

In BMI's Business Environment Ranking matrix for Q309, Latvia is found in a
lowly 16th position out of the 20 markets surveyed in the Emerging Europe
region, sandwiched between Lithuania and Moldova. In relation to the previous
quarter, Latvia has moved up one place. The country's overall pharmaceutical
rating is below average, due to its small and falling population numbers that
limit its overall size, and an economy that is highly exposed to external risk.

The volume of drugs sold in Latvian pharmacies decreased by 6-8% in April 2009,
compared with March. A slowdown in the prescription drug market and the overall
largely payer-driven pharmaceutical market could therefore be partially
attributable to the economic downturn and the decline in disposable income. BMI
notes that Latvia's reimbursement system covers a relatively limited range of
medicines, even by CEE standards, and remains hindered by a lack of government
financing. BMI's drug expenditure forecasts highlight a slowdown in the
country's pharmaceutical market growth in 2009 to 5.29% - compared to 10.25% in
2008 and a staggering 18.77% in 2007.

From March 2009, the cost for a general practitioner has increased to LVL1
(US$1.90) from LVL0.5 (US$0.90), for healthcare specialists it has increased to
LVL5 (US$9.50) from LVL2 (US$3.80) and for hospital fees to LVL5-12
(US$9.50-22.70). The increase in the healthcare fees is in line with BMI's view
that Latvia is committed to reforming its hospital sector in a bid to contain
costs. According to the Baltic Course, people in the country go to hospitals
twice as frequently and stay in hospitals twice as long. The government is
emphasising the development of preventive medicine and homecare, and the
decision to increase fees may impact growing healthcare expenditure in Latvia.

Latvia's pharmaceutical exports reached a value of US$256mn in 2008 and by 2013,
we expect this to rise to US$272mn, equating to a 1.18% compound annual growth
rate (CAGR). Pharmaceutical imports were valued at US$470mn in 2008 and it is
calculated that they will reach a value of US$497mn by 2013, equating to a CAGR
of 1.12%. BMI believes that a greater focus on exports by Latvia's smaller
indigenous drugmakers could significantly raise the country's export profile and
provide substantial turnover gains for the domestic industry. Excluding the top
two manufacturers - for which exports account for 92.5% of turnover - the
smaller drugmakers' exports account for only 32.6% of total turnover.

Key Topics Covered:

* Executive Summary
* SWOT Analysis
* Pharmaceutical Business Environment Ratings
* Latvia - Market Summary
* Regulatory Regime
* Industry Developments
* Industry Forecast Scenario
* Competitive Landscape
* Company Monitor
* Country Snapshot: Latvia Demographic Data
* BMI Forecast Modelling

Companies Mentioned:

* Pfizer
* GlaxoSmithKline
* Sanofi-Aventis
* Novartis
* Merck & Co
* Grindeks (includes Tallinn Pharmaceutical Plant)
* Olainfarm

For more information visit
http://www.researchandmarkets.com/research/83ad27/latvia_pharmaceuti

Research and Markets
Laura Wood
Senior Manager
Fax from USA: 646-607-1907
Fax from rest of the world: +353-1-481-1716
press@researchandmarkets.com

Copyright Business Wire 2009