Biotechnology and Pharmaceuticals sector

An Expert's View about Medical, Health and Cosmetics Products in Japan

Posted on: 26 May 2012

The Japanese pharmaceutical market is the world`s second largest with sales of over £65 billion in 2009.

Biotechnology and Pharmaceuticals sector in Japan The Japanese pharmaceutical market is the world`s second largest with sales of over £65 billion in 2009; up 5.8% from 2008. At 11% of the global market, it is bigger than France and Germany combined. Market overview Japan has a number of research based pharmaceutical companies that are operating on a global basis including Takeda, Astellas, Daiichi Sankyo, Eisai, Otsuka, Mitsubishi Tanabe, Chugai, Shionogi, Kyowa Hakko Kirin, Dainippon Sumitomo. These companies are actively looking for collaboration opportunities with new and innovative pharmaceutical companies. The market for biologics such as antibodies, protein based drugs and vaccine, has been increasing and companies including Chugai, Kyowa Hakko Kirin, Takeda, Mitsubishi Tanabe are some of the key players in this market. The market share of foreign pharmaceutical companies is growing and is estimated to be 30-40% in recent years. The UK had been the largest exporter of pharmaceuticals to Japan until 2008, but was replaced by Switzerland in 2009 due to the sharp increase of imports of swine flu related products. In 2009, Japan imported £2.5 billion worth of drugs from the UK, which accounted for 15.4% of the total amount of Japanese pharmaceuticals imports. Domestic drug production is worth ¥6.8 trillion (approximately £50.5 billion), of which prescription drugs account for 90% of production, while over-the-counter (OTC) drugs account for the remaining 10%. Japan has one of the world’s fastest ageing populations. As a consequence, its population is facing an increasing number of chronic and long-term diseases. Key opportunities ξ Demand for joint development, outsourcing of R&D, clinical trials and regulatory affairs in Europe continues to increase. ξ In view of patent expiration of blockbuster drugs and pressures from generics, most opportunities will be in out-licensing of drugs especially for age-related, non- communicable diseases including cancer, cardiovascular and CNS. ξ Increasing development of antibody drugs by Japanese pharmaceutical companies. ξ DDS (both original and generics manufacturers). ξ Bio-marker development. ξ Services to help faster drug development. Diagnostic companies are also looking for products or unique technologies that can improve diagnostic/detection processes and for the development of companion bio-markers. Diagnostic companies are looking to expand overseas to off-set the sales in a saturated market. Business opportunities with diagnostic companies result in potential wider market opportunities. Latest export opportunities – Biotechnology & Pharmaceuticals Latest export opportunities – Japan Getting into the market Direct collaboration opportunities with large Japanese pharmaceutical companies who operate globally would be the best way to get into the market, along with collaborating with medium sized and generic Japanese pharmaceutical companies. Globally operating Japanese pharmaceutical companies are also looking at expanding into emerging markets including China and India. Collaboration with Japanese pharmaceutical companies could also provide access to these emerging markets. Japanese companies place strong emphasis on developing the trust and mutual confidence that will lead to a strong and enduring relationship. More about doing business in Japan Contacts Market intelligence is critical when doing business overseas, and UKTI can provide bespoke market research and support during overseas visits though our chargeable Overseas Market Introduction Service (OMIS). To commission research or for general advice about the market, get in touch with our specialists in country - or contact your local international trade team. ξ Kaori Arai, British Embassy Tokyo. Tel: +81 (0)3 5211 1150 or email: ξ Hitomi Nakai, British Consulate-General Osaka. Tel: +81 (0)6 6120 5656 or email: Contact your local international trade team Events UKTI runs a range of events for exporters, including seminars in the UK, trade missions to overseas markets and support for attendance at overseas trade shows. BIO tech 2012 Dates: 25-27 April 2012 Venue: Tokyo Big Sight Website address: Interphex Japan Dates: 27-29 June 2012 Venue: Tokyo Big Sight Website address: Bio Japan 2012 Dates: 10-12 October 2012 Venue: Pacifico Yokohama Website address: Latest events – Biotechnology & Pharmaceuticals Useful links More about OMIS and other UKTI services for exporters
Posted: 26 May 2012

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