The begging of 2018 was quite eventful for the Russian pharmaceutical wholesale. First, the bankruptcy process of Rosta started in January, with a rather high level of debt overburden for the pharmaceutical retail, which is estimated to be 10-11% of the annual volume of the retail market by Protek. So, the external prosperity of wholesale companies (by the end of 2017, only 4 out of the 15 largest companies has had their market share reduced) can be replaced by a recession at any moment.
The new year for the Russian pharmaceutical industry did not start that well. In January, Russia dispatched 22 bln RUB worth of pharmaceuticals (dispatch prices, VAT included) to the market, which is in monetary terms 3.4% lower than that of January 2017. The growth rates in physical terms are even worse, with a 7.2% decline and 0.29 bln units. The decline was largely due to over-the-counter drugs, with a 13% decline over the year. The dispatch of the Rx category has risen by 4%, though.
2/22/2018 2017 Rating of Russian Pharmacy Chains
At the beginning of the year, pharmaceutical drug sale in non-pharmaceutical stores was once again one of the central topics for the Russian pharmaceutical industry. The industry professionals made an unambiguous assessment of the initiative, which could have called it quits. However, the regulators had other ideas. In December 2017, a draft federal law was submitted for public discussion.
Among veterinary products, feed supplements led the way in import volume in 2017, with 32.8 mln RUB (free circulation prices). Since 2016, feed supplement import has increased by 6.2% in monetary terms. Veterinary drug import has risen by 7.6% in monetary terms, with the volume amounting to more than 23.8 mln RUB. Veterinary API import shows the best progress with 12.9% and 1.8 bln RUB.
Between January and December 2017, Russia imported 74 bln RUB worth of APIs (free circulation prices plus VAT). Pharmacopoeial APIs take up most of it (97.5%) and contributed to the total import volume in monetary terms, which has risen by 22% in comparison with the same period in 2016. Pharmacopoeial API import has risen by 23% over the year, and imports of technical raw materials have decreased by 5.5%.