Pharmaceutical Industry Growth Rebounds in Five-Year Outlook

Article

Annual growth in spending for medicines is expected to rise from 2-3% in 2013 to 5-7% in 2017, the highest pace of growth since 2009.

Global spending on medicines is expected to meet the $1 trillion threshold in 2014 and reach $1.2 trillion by 2017, according to a recent report by the IMS Institute for Healthcare Informatics. The report, The Global Use of Medicines: Outlook through 2017, found that growth in global spending on medicines increased 2.6% to $965 billion in 2012, and is forecast to grow at a 3–6% compound annual rate over the next five years.

IMS projects a gradual increase in global medicine spending growth during the next five years. Annual growth in spending is expected to rise from 2–3% in 2013 to 5–7% in 2017, the highest pace of growth since 2009. The single largest impact on growth levels is the continuing effect of many blockbuster drugs coming off patent and an increase in lower-cost generic alternatives. In addition, the gradual return of global growth in gross domestic product to more than 4%t by 2017 will contribute to an upward trend in medicine spending levels.

Specialty medicines will be the single largest contributor to branded drug spending growth through 2017, according to IMS. Spending on specialty medicines is expected to reach $230–240 billion in 2017, up 38% from the $171 billion spent in 2012. In developed markets, growth in spending for specialty drugs is expected to increase 30% during the next five years to reach $190–200 billion. In pharmerging markets, the use of specialty medicines is limited, but spending is expected to rise by nearly 90% through 2017, to $40–50 billion annually.

“As we pass the fifth anniversary of the global economic slowdown, and with many countries moving toward universal health coverage, we expect to see continued divergence in growth rates between the pharmerging and developed markets,” said Murray Aitken, executive director of the IMS Institute for Healthcare Informatics, in IMS press release. “Austerity measures aimed at medicine budgets along with the growing availability of lower-cost generics will lead to annual spending growth of 1–4% among the markets of North America, Europe, and Japan. In contrast, pharmerging nations will experience 10–13% spending growth.

Source: IMS

Recent Videos
Related Content

Site Logo

Webinar: Best Practices, Strategies & Utilization of Novel Biological Responses for Robust Cell-Based Potency Assays

December 12th 2024
Article

Transcriptional activity within a cell can be used to evaluate cell response to a ligand or promoter activity within a transgene or plasmid within a cell. Catalent has developed a relative potency bioassay using real-time quantitative reverse transcription (RT-qPCR) in a duplex format to assess relative transcription activity in cells treated with ligands or transgenic vectors. The assay utilizes two fluorescent dyes with minimally overlapping emission spectra that allow real-time monitoring of the gene expression of both target and normalizer genes. Notably, the assay simplifies the process by eliminating the need for mRNA purification, enabling more efficient and accurate analysis. Normalizing the qPCR cycle thresholds (CT) of the target transcript to the reference transcript allows the response curve to be generated and compared to a reference standard. The generation of a four-parameter fit curve analysis from raw qPCR cycle threshold data allows for the comparison of relative potency and assessment of suitability based on curve parallelism. Catalent has successfully implemented this assay platform to develop a reliable, accurate, and specific bioassay. It stands out for its linear response and reproducibility, making it a valuable tool for evaluating the relative potency of various test substances. Join us to explore how these robust cell-based potency assays can enhance your research and provide critical data on drug product potency.

© 2024 MJH Life Sciences

All rights reserved.