Updated on 11 July 2013
The report estimated that the pharmaceutical market in Japan would grow at a CAGR of 2 percent during the period 2013-2020 and reach $104.5 billion in 2020
Singapore: Simplification of the regulatory process will prove to be the key to the growth of the pharma market in Japan, claimed a recent report by Research and Markets.
The CountryFocus report revolves around the healthcare, regulatory and reimbursement landscape of the Japan industry that has been titled a mature healthcare market that offers universal access to healthcare facilities and insurance.
"Simplification of the regulatory process resulting in an increase in the number of new product launches, growing disease burden and demand for healthcare from the growing elderly population will drive the pharmaceutical market of Japan. However, increasing focus on generic substitution and a biennial pricing review system may limit the extent of growth," the report explained.
As per the report, the pharmaceutical market in Japan was valued at $54.8 billion in 2007 and reached approximately $89.1 billion in 2012 at a Compound Annual Growth Rate (CAGR) of 10.2 percent. It is estimated that the pharmaceutical market would grow at a CAGR of 2 percent during the period 2013-2020 and reach $104.5 billion in 2020.
Based on the pharmaceutical production data, in 2011, the cardiovascular agents, Central Nervous System (CNS) agents, agents affecting metabolism, digestive-organ agents, and blood-and-body-fluid agents dominated the market. Simplification of the regulatory process acts as a key growth driver. The government intends to remove regulatory hurdles by reducing the number of approval reviews required, increasing the number of review members, and reducing the duration of approval timelines in order to reduce the length of the drug approval process.