In January–November 2022, the sales of veterinary drugs in the Russian offline retail market were 18.8 billion RUB retail prices, VAT included), down 5.2% from the same period in 2021. The results could have been much worse if not for the activity in October–November 2022 compensating for the drop in consumption back in the spring and summer 2022. In physical terms, the sales were 123.4 million minimum dosage units (MDU), down 20.7%.

In Q1–Q3 2022, the online sales or reservations of pharmacy products (pharmaceutical drugs and parapharmaceuticals) in Russia were 213.4 billion rubles (end-user prices, VAT included), which is much higher than the total in 2021. The sales and reservations went up 50.7% (against 51.3% in Q1–Q2 2022). The growth rate is significantly more different from those seen due to the rush demand earlier this year—in particular, the sales in Q1 2022 grew 69.6%.

In January–October 2022, the sales of veterinary drugs in the Russian retail market were 17.5 billion RUB (retail prices, VAT included), down 5.5% from the same period in 2021. That is an obvious result of the rush demand in March, the flow of consumers to the online segment, as well as dropping household incomes. In physical terms, the sales were 113.4 million minimum dosage units (MDU), down 21%.

From January to October 2022, Russia imported 31.4 billion rubles’ worth of veterinary drugs (customs clearance and VAT included), up 5.9% from the same period in 2021. In physical terms, the import grew 7.4%, with more than 27.4 million packages imported. As for feed supplements, the import fell 5.9%, with almost 34 billion rubles’ worth of products. In physical terms, the import, 120,100 tons, went down 14% from January–October 2021.

In January–October 2022, Russia imported 673.8 billion rubles’ worth of ready-made pharmaceutical drugs (customs clearance and VAT included), up 9% from the same period in 2021. As for bulk drugs, the import was 151.3 billion rubles, up 17.7%. In physical terms, the import of both groups decreased—ready-made drugs went down 8.6%, with 1.36 billion packages imported, and bulk drugs went down 30%, with 1.29 billion minimum dosage units (MDU).

In January–October 2022, Russia imported 160.8 billion rubles’ worth of APIs (customs clearance and VAT included), down 1.7% from the same period in 2021. In physical terms, the import was up 21.9%, with more than 16,500 tons imported.

In January–October 2022, Russian manufacturers produced 579.5 billion rubles’ worth of ready-made drugs (manufacturer’s prices, VAT included), up 18.5% from the same period in 2021. As usual, the high inflation rate played a significant role here, especially since it has been 10% or higher since March. In physical terms, the production volume was 3.44 billion packages, up 2.9% from January–October 2021. If calculated in minimum dosage units (MDU), the volume was 65.4 billion MDUs, up 2.1% from the same period last year.

Market Shares of Seven Major Pharmaceutical Distributors Decline in Q1–Q3 2022

The number of factors influencing the Russian pharmaceutical market may have reached a historic high this year, which is why partial mobilization was hardly surprising. The way it affected the Russian economy is worth describing as vividly as possible. First, a significant part of consumers was lost, including not only the mobilized conscripts, but also those “tourists” who fled Russia to its neighboring states, with solvent consumers among them. Second, for a relatively short period of time, the pharmaceutical market saw a “militarization” of demand, which included the need to provide conscripts with drugs and medical devices used in warfare, as well as general panic moods stimulating the demand for certain drugs.

In Q1–Q3 2022, the sales of veterinary drugs in the Russian retail market were 16.8 billion RUB (retail prices, VAT included), down 3.6% from Q1–Q3 2021. Even the actively growing e-commerce with its growth rates of 67% could not save the situation. In physical terms, the sales were 107.5 million minimum dosage units (MDU), down 20%. The online sales went up 33%, while the offline sales fell 21%.