Government policies to restrict medicine prices will increase demand for pharmaceutical manufacturers.
San Francisco, CA (PRWEB) February 02, 2013
Revenue for the Pharmaceutical Manufacturing industry in China is expected to increase at an annualized rate of 22.1% in the five years to 2012 to reach $78.8 billion, says IBISWorld. Growth has been largely driven by rising market demand and the rising income levels of consumers. In addition, over the past five years the government amended the rebate practices of hospitals for pharmaceutical and medicine products to limit overcharging and price gouging of consumers. In the past, many consumers could not afford to purchase medicine or see a doctor.
In recent years, concentration levels in the global pharmaceutical industry have increased as major players merged to minimize rising R&D costs, reduce development times and increase global marketing power. Within the Pharmaceutical Manufacturing industry in China, concentration is low, with the top four players accounting for 15.0% of total industry revenue in 2012. The industry's concentration level is expected to increase as small and inefficient players leave the industry and large players become more competitive, says IBISWorld.
The government will continue to implement policies to restrict and decrease medicine prices, allowing more consumers to purchase medicine when required. This will increase demand for the Pharmaceutical Manufacturing industry in China. Furthermore, future healthcare reforms will allow drugstores to surpass hospitals as the major distribution channel for pharmaceuticals, says IBISWorld.
For more information, visit IBISWorld’s Pharmaceutical Manufacturing in China industry report page.
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IBISWorld Industry Report Key Topics
The Pharmaceutical Manufacturing industry in China is primarily engaged in the manufacture of chemical medicinal and pharmaceutical products in various formats, including ampoules, tablets, capsules, vials, ointments, powders, solutions, suspensions and radioactive medicine. These products are then sold via pharmacies or distributed via hospitals. Biological and veterinary medicine products are not included in this industry.
Key External Drivers
Industry Life Cycle
Products & Markets
Products & Services
Globalization & Trade
Market Share Concentration
Key Success Factors
Cost Structure Benchmarks
Barriers to Entry
About IBISWorld Inc.
Recognized as the nation’s most trusted independent source of industry and market research, IBISWorld offers a comprehensive database of unique information and analysis on every US industry. With an extensive online portfolio, valued for its depth and scope, the company equips clients with the insight necessary to make better business decisions. Headquartered in Los Angeles, IBISWorld serves a range of business, professional service and government organizations through more than 10 locations worldwide. For more information, visit http://www.ibisworld.com or call 1-800-330-3772.