2009-06-17 19:11:05 -
France Pharmaceuticals and Healthcare Report Q2 2009 - a new market research report on companiesandmarkets.com
www.companiesandmarkets.com/Summary-Market-Report/france-pharmac ..
The report calculates Frances pharmaceutical expenditure to have been EUR34.07bn (US$48.67bn) in 2008.
By 2013, we expect the total amount spent on prescription and over-the-counter (OTC) medicines to have reached a value of EUR39.30bn (US$49.75bn) equating to a compound annual growth rate (CAGR) of 2.9% in local currency terms.
Mid-sized to small specialty pharmaceutical companies in France are experiencing a drastic shortage in funding. France is home to over 300 biotech firms, but the international financial crisis means there is a low appetite for risk and less likelihood of investment for development stage companies, which include most biotechnology firms. France Biotechs Drug Pipeline Review, published in March 2009, revealed that funding for the countrys life sciences industry fell to EUR143mn (US$180mn) in
2008 compared to EUR694mn (US$880mn) in 2007, equating to a staggering 79% reduction in investments.
It is unlikely the French biotech industry will obtain an increase in government funding as the French government has reportedly weakened its support for young, innovative companies during 2009.
The budget for the OSEO state innovation agency has been cut by half, to US$415mn. Additionally, reform of the research tax credit led to an average annual reduction of 56% for biotech companies incorporated within the last five years.
France has one of the worlds highest levels of per capita drug expenditure, estimated to have reached US$764 in 2008. In 2008, pharmaceutical spending as a percent of GDP dropped to 1.70%, compared to 1.76% in 2007. This figure is forecast to increase to 1.83% of GDP in 2009; however, figures are expected to decrease to 2007 levels by 2013. The French government is focused on reducing pharmaceutical expenditure in order to cut the countrys healthcare budget deficit. The role of the Haute Autorité de santé (HAS) or French National Authority for Health was extended in January 2009 and one its major responsibilities will be to devise rational, cost-effective reimbursement policies for drugs, rather than purely focusing on therapeutic benefits.
In January 2009, the French Pharmaceutical Companies Assciation (LEEM)s biennial survey of international phase II and III clinical trials revealed that Frances appeal as a location for clinical trials appears to be fading slightly, relative to other European and Asian countries. Despite improvements in the number of patients recruited per trial and the speed at which they were recruited, the emergence of cheaper destinations in which to base trials, along with improvements in conditions among fellow Western European countries, has resulted in a slight reduction in patient recruitment share.
