Healthcare Sector in Turkey

An Expert's View about Dental and Medical Equipment in Turkey

Posted on: 4 Oct 2010

In 2009 Turkey was rated as the 16th largest producer of pharmaceuticals in the world and also 6th largest pharmaceuticals market in Europe.

Sector briefing Healthcare, Pharmaceutical & Medical Device Opportunities in Turkey Turkey?s successful economic performance in Why Turkey? recent years has had a positive effect on the healthcare industry as well as on many other The healthcare system in Turkey has gone industries. through a series of crucial reforms in recent years. The EU accession and harmonization The Turkish pharmaceutical industry exports to process has also provided additional more than 100 countries. momentum for implementation of changes in the health care system. More than 25,000 people are currently employed in the pharmaceuticals sector. In 2009 Turkey was rated as the 16th largest producer of pharmaceuticals in the world and also 6th largest pharmaceuticals market in Europe. The pharmaceutical sector has undergone structural changes since 1984, when Turkey brought its legislation into line with the EU's Good Manufacturing Practices (GMP) directives for medicinal products. In 2009 saw changes to Government pricing levels that were seen as unfavourable to multinational importers and in early 2010 new legislation was enacted requiring Turkish GMP certificates for all new imported pharmaceutical products. These changes have both adversely affected importers in the sector whilst creating increased opportunity for local manufacture. UK Trade & Investment Sector briefing: Healthcare, Pharmaceutical & Medical Device opportunities in Turkey ? Legislation changes on pricing in 2009 and GMP certificates in 2010 have adversely Prices of pharmaceutical products in Turkey are affected international pharmaceutical regulated and controlled by the General importeres to Turkey. Directorate of Pharmaceuticals & Pharmacies, operating under the Turkish Ministry of Health. Threats Find general information on the Turkish market conditions on UKTI?s website. The Doing ? Negative effect of government price Business Guide for Turkey gives an overview of controls/reimbursement lists on market Turkey?s economy, business culture, potential attractiveness opportunities and an introduction to other ? The costs of modernization to potentially relevant issue deter the harmonization of the domestic regulatory infrastructure and industry standards with international norms Opportunities ? Need to address the substantial deficit of the healthcare system ? Harmonization with the EU and sector modernization leading to considerable Healthcare Market potential ? Significant scope for growth, given the size The healthcare system in Turkey is evolving of the population and current low under the 2003-13 Health Transformation consumption rate Programme. The purpose of the programme is ? Recent introduction of new R&D legislation, to increase the quality and efficiency of the designed to facilitate investment healthcare system and enhance access to ? One of the fastest growing markets in the healthcare facilities with the introduction of a world number of reforms. Turkey?s annual ? Healthcare reforms, such as centralized healthcare spending in 2009 was an estimated health insurance/social security, leading to US$38 bn, representing, 6.2% of total GDP. better and wider access to healthcare The pharmaceuticals market, a key component of the overall sector, generated revenue of Streng 2ths US$ 11.5bn in 2009. Turkey ranks as the 16th- largest pharmaceutical manufacturer ? Falling morbidity & mortality rates worldwide and the 6th-largest pharmaceutical ? Growing population and improving market in Europe, after Germany, France, the demographic indicators UK, Italy and Spain. The prescription market, ? Improving healthcare awareness accounting for 90% of the pharmaceuticals ? Availability of a skilled workforce market, is expected to remain dominant in the ? Growing healthcare investments, including years ahead as hospitals and doctors remain growing foreign investment in recent years the primary access points to healthcare. ? Market regulations increasingly in line with EU Pharmaceuticals Market ? Government?s commitment to healthcare industry improvements In 2009, the global pharmaceuticals market is estimated at US$ 828bn. In 2010 this market Weaknesses is forecast to expand by 4% to 6% on a constant-dollar basis. Considering the effect of global GDP growth, innovations and the ? Low per capita healthcare spending of USD 530, pu introduction of new products, wider access to tting Turkey in a position behind many European healthcare services and rising funding, the countries pharmaceutical market is expected to grow at ? Domestic patent law and intellectual property a CAGR (compound annual growth rate) of 4% remaining below international to 7% between 2008 and 2013. Global standards pharmaceutical sales are expected to reach ? High dependence on the import of hi-tech drugs over US$ 975bn by the end of 2013. Although the economic environment will still be a ? State-controlled prices blamed for industry negative pressure on many developed losses countries, especially those with increasing UK Trade & Investment Sector briefing: Healthcare, Pharmaceutical & Medical Device opportunities in Turkey budget deficits and publicly funded healthcare Access to sanitation 100% [15th of 129] systems, stronger demand than expected for Birth rate, crude > per 18.9 per 1,000 [102nd of 195] 2009, as well as pricing flexibility and inventory 1,000 people people management actions in the US market lead to Contraception 64% [19th of 89] a positive outlook for the global Daily smokers 32.1% [5th of 30] pharmaceuticals market. Drug access 95% [35th of 163] Medical Devices Market 2.6 per 1,000 Hospital beds [28th of 29] people The global healthcare equipment and supplies Hospital beds > per 1,000 2.6 per 1,000 market grew b [1st of 149] y 6.5% in 2008 and reached a people people value of US$ 296bn. The CAGR of the global Life expectancy at birth > market between 2004-2008 is 6.8%. 70.67 years [103rd of 226] male Disposable equipment and supplies were the Life expectancy at birth > locomotive segment of the global industry 73.14 years [107th of 225] total population representing 41% of total revenue in 2008. 130 per When looking at a regional breakdown of the Maternal mortality [58th of 136] 100,000 market, the Americas accounted for 46.7% of the 2008 market value, outpacing Europe with Obesity 12% [18th of 29] its share of 34.4%. Physicians > per 1,000 1.3 per 1,000 [2nd of 148] people people Turkey has a gradually growing medical Probability of not 9.6% [73rd of 111] devices market and is ranked within the top 30 reaching 40 years of age markets in the world. In 2008, the Turkish Spending > per capita 153 [56th of 133] medical equipment and supplies market is Tobacco > cigarette calculated to have been worth US$ 1.3bn, 2,394 [10th of 106] consumption representing around 3.1% of total healthcare Tobacco > total adult expenditure. 44 [7th of 117] smokers If you have any questions on the opportunities Source: IMS Health above, contact the UKTI Turkey Healthcare contacts named in this report. Business opportunities aimed specifically at UK companies are added daily to UKTI?s website. These leads are sourced by our staff overseas in British Embassies, High Commissions and Consulates, across all sectors and in over 100 markets. You can be alerted to business opportunities on a regular basis by registering on the UKTI website. More on UKTI?s business opportunities service UK Trade & Investment Sector briefing: Healthcare, Pharmaceutical & Medical Device opportunities in Turkey Major events and activities Next steps - How UKTI can help Çukurova T?p 2010 International Medical Products, Laboratory & Hospital British companies wishing to develop their Equipment Exhibition (TUYAP) business in the Turkish market are advised to Contact: British Embassy, Ankara, Turkey undertake as much market research and Email: Asiye.Yaman@ukti.gsi.gov.uk planning as possible in the UK. UKTI?s team in Time: 02 ? 05 December 2010 Turkey, with its wide local knowledge and Location: Adana experience, can provide a range of services to www.tuyap.com.tr British-based companies wishing to grow their business in global markets. th MEDIST 2010 9 International Medical Products, Laboratory & Hospital This can include: Equipment Exhibition (CNR Expo) ? Provision of market information Contact: British Embassy, Ankara, Turkey ? Validated lists of agents/distributors Email: Asiye.Yaman@ukti.gsi.gov.uk ? Key market players or potential Time: 25 ? 28 November 2010 customers in the Chinese market Location: Istanbul ? Establishment of interest of such www.cnrexpo.com contacts in working with you ? Arranging appointments ? Organise seminars or other events for Optic 2010 International Optic ware, you to meet contacts and promote your Machinery, Instruments & Accessories company in the Chinese market Exhibition (E Uluslararas?) Contact: British Embassy, Ankara, Turkey This work is available via our Overseas Market Email: Asiye.Yaman@ukti.gsi.gov.uk Introduction Service (OMIS) Time: 09 ? 12 December 2010 a chargeable service which assists British- Location: Istanbul based companies wishing to enter or expand www.ite-turkey.com their business in overseas markets. Find full details of all Turkey Healthcare To find out more about commissioning this events on the UKTI website. New export work, or accessing other UKTI services and events are added daily to the site and you can specialist advice, please visit the UKTI website register to be alerted to them on a daily, to find contact details for your local UKTI weekly or monthly basis office. UKTI?s Tradeshow Access Programme (TAP) provides grant support for eligible Small & Medium Sized Enterprises (SME's) to attend trade shows overseas. Find out more about UKTI support for attendance at overseas events UKTI contacts Ms Asiye Yaman Trade & Investment Adviser British Embassy Ankara - Turkey Tel: +90 312 455 3246 Email: Asiye.Yaman@fco.gov.uk www.ukti.gov.uk UK Trade & Investment Sector briefing: Healthcare, Pharmaceutical & Medical Device opportunities in Turkey
Posted: 04 October 2010

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