Doha, with highest per capita health expenditure of $1,827 in the Gulf region, remains an attractive market for innovative pharmaceutical and healthcare providers, according, IPA Qatar (Investment Promotion Agency Qatar).
"Qatar’s major investment in medical infrastructure and R&D (research and development), in addition to an effective legal structure and availability of talent, offers a lucrative business climate for foreign investors eyeing the pharma market," IPA Qatar said in a report.
Highlighting that Qatar offers foreign investors a competitive and valuable business environment; it said the government health expenditure will grow steadily at 5% year-on-year and private healthcare expenditure at 9.6% till 2025.
Elaborating on the country's robust support systems for the sector, the report said funding and research partnership opportunities with state and private actors including Qatar Foundation, Sidra Medicine, Qatar Biomedical Research, and QRDI (Qatar Research Development and Innovation Council).
Qatar has efficient legislation to protect intellectual property rights and industrial designs, it said, adding the Ministry of Public Health's (MoPH) department of Pharmacy and Drug Control enforces effective drug regulations regarding import, export, distribution, and quality monitoring, drug procurement, storage, and supply of medicines in Qatar follow organised and well-established protocols.
Moreover, increasing Gulf Co-operation Council (GCC) regulatory alignment increases the attraction of Qatar and lowers barriers to entry.
On the prospects in the wider region, the report said with the size of the market set to expand due to the effects of the pandemic and major investments in global healthcare systems, the Middle East pharma industry is poised for a big leap.
On the demand side, an expanding middle class and an ageing population across the globe provide a fertile ground for the growth of the pharmaceuticals market, it said, noting that the global middle class is projected to reach 5.3bn by 2030.
The generic drug market was worth $390.6bn in 2020 and is expected to reach $574.6bn by 2030, the report said, adding the market size of personalised medicine is slated to reach $796.8bn by 2028, expanding at a compound annual growth rate of 6.2% till 2028.
During the pandemic, biopharmaceutical industry deals hit a record high, more than doubling from the year before, IPA Qatar said, adding compared with other high-technology industries, the annual R&D spending by the biopharmaceutical industry is 7.3 and 6.5 times greater than that of the aerospace & defence industries, and the chemicals industry, respectively.
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