Pharmaceuticals - GCC

The Pharmaceuticals market in GCC is expected to witness a significant growth in the coming years.
By 2024, the projected revenue for this market is estimated to reach a staggering US$9.37bn.
The largest market within the Pharmaceuticals market industry is Oncology Drugs, which is projected to have a market volume of US$1.66bn by 2024.
This market is expected to exhibit a steady growth with an annual growth rate (CAGR 2024-2029) of 5.05%, resulting in a market volume of US$11.99bn by 2029.
When compared globally, it is worth noting that United States is anticipated to generate the highest revenue in the Pharmaceuticals market, amounting to a staggering US$630.30bn in 2024.
The pharmaceutical industry in the GCC is experiencing a surge in demand for generic drugs due to cost-conscious consumers.

Key regions: United States, China, Germany, Japan, Europe

Definition:
The Pharmaceuticals market covers remedies used to cure, treat, prevent, and diagnose diseases. These small molecule drugs or biologic medical products may be called drugs, medications, or medicines. Prescription drugs and over-the-counter (OTC) drugs are both included. Next generation therapies are also part of the Pharmaceuticals market and include gene therapy, cell therapy, and nucleic acid therapy. Cell therapies involve the use of living cells to replace or repair damaged tissues within the patient's body, or to modify cells to perform specific functions. Gene therapies focus on altering a patient’s genetic material to regulate the production of certain proteins. Nucleic acid therapies use short strands of DNA or RNA to inhibit the production of harmful proteins associated with diseases and promote the generation of therapeutic proteins. Depending on the regulations in each country, these products are provided by pharmacies, hospitals, physicians, and/or drug stores, and/or they can be bought elsewhere. They may be administered in the form of pills, capsules, gels, ointments, injections, infusions, lozenges, or aerosols/sprays.

Structure:
The market is subdivided into Oncology Drugs, Anti-Diabetes Drugs, Anti-Rheumatic Drugs, Vaccines, Dermatological Drugs, Antiviral Drugs, Immunosuppressants, Bronchodilator Drugs, Sensory Organ Drugs, Anti-Hypertensive Drugs, Anti-Coagulants, Anti-Fibrinolytic Drugs, Multiple Sclerosis Drugs, Lipid-Lowering Agents and Other Pharmaceuticals. The Pharmaceuticals market is organized in markets that cover drugs used in specific medical fields, i.e., medicines for a specific disesase or a certain type of medicine. They include original brands, biosimilars, generics, and orphan drugs.The Oncology Drugs market covers pharmaceutical products specifically developed for the treatment and management of various cancers. The Anti-Diabetes Drugs market covers medications designed to manage blood glucose levels and improve insulin sensitivity in individuals with diabetes. The market Anti-Rheumatic Drugs includes pharmaceuticals specifically developed to alleviate symptoms, reduce inflammation, and modify the progression of rheumatic diseases. The Dermatological Drugs market covers pharmaceuticals formulated to treat and manage a wide range of skin conditions such as eczema, acne, and rosacea. The Antiviral Drugs market includes medications designed to treat viral infections and reducing the severity and duration of symptoms. The Immunosuppressants market covers pharmaceuticals that suppress the immune system's activity. The Bronchodilator Drugs market covers pharmaceuticals designed to relax and widen the airways in the lungs. The Sensory Organ Drugs market covers pharmaceuticals targeting the treatment of disorders and conditions affecting sensory organs such as the eyes, ears and nose. The Anti-hypertensive Drugs market covers pharmaceuticals designed to lower blood pressure levels. The Anti-Coagulants Drugs market covers pharmaceuticals developed to prevent the formation of blood clots or to dissolve existing clots. The Anti-Fibrinolytics Drugs market covers pharmaceuticals designed to inhibit the breakdown of blood clots. The Multiple Sclerosis Drugs market covers pharmaceuticals aimed at managing and modifying the course of multiple sclerosis. The Lipid-Lowering Agents market covers pharmaceuticals developed to reduce levels of cholesterol and other lipids in the blood. The Other Pharmaceuticals market provides information on additional specialties that are not covered by the main markets.

Additional information:
Market values represent the revenues generated by manufacture prices paid to primary vendors, either directly or through distribution channels (excluding VAT). Reported market revenues include spending by consumers (B2C), companies (B2B), and governments (B2G).

Company examples: Novartis, Roche, Pfizer, Merck & Co, Johnson & Johnson, AbbVie, Sanofi.

Market

Region

Region comparison

Currency

Analyst Opinion

The Pharmaceuticals market in GCC has been experiencing steady growth over the years. With an increasing demand for healthcare services and a growing population, the market has been able to sustain its growth.

Customer preferences: The customers in the GCC region are highly health-conscious and are willing to spend a significant amount of money on healthcare services. The demand for pharmaceuticals in the region is driven by an increasing prevalence of chronic diseases such as diabetes, hypertension, and cancer. Additionally, the customers in the region prefer branded drugs over generic drugs due to their perceived higher quality.

Trends in the market: The trend in the pharmaceutical market in the GCC region is towards the development of innovative drugs and the adoption of new technologies. The market is witnessing an increase in the number of research and development initiatives, with a focus on developing drugs for chronic diseases. Additionally, there is a growing trend towards personalized medicine, which involves the use of genetic testing to develop customized treatment plans for patients.

Local special circumstances: The GCC region has a unique healthcare system that is heavily subsidized by the government. The governments in the region provide free or highly subsidized healthcare services to their citizens, which has led to an increase in the demand for pharmaceuticals. Additionally, the region has a high prevalence of lifestyle diseases, which has further increased the demand for pharmaceuticals.

Underlying macroeconomic factors: The pharmaceutical market in the GCC region is driven by several macroeconomic factors such as the growing population, increasing healthcare expenditure, and the development of healthcare infrastructure. The region has a young and growing population with a high life expectancy, which has led to an increase in the demand for healthcare services. Additionally, the governments in the region are investing heavily in the development of healthcare infrastructure, which has further boosted the growth of the pharmaceutical market. Finally, the increasing healthcare expenditure in the region has led to an increase in the demand for pharmaceuticals.

Methodology

Data coverage:

Data encompasses B2B, B2G, and B2C spend. Figures are based on drug revenues allocated to the country where the money is spent. Monetary values are given at manufacturer price level excluding VAT.

Modeling approach / Market size:

Market sizes are determined by a top-down approach, based on a specific rationale for each market. As a basis for evaluating markets, we use financial information of the key players by market. Next, we use relevant key market indicators and data from country-specific associations, such as industry associations. This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the particular market. For example, forecasts are based on historical developments, current trends, and key market indicators, using advanced statistical methods. The main driver is healthcare expenditure. Expiring patents and new drugs in the pipeline are also considered.

Additional notes:

Data is modeled in US$ using current exchange rates. The market is updated twice per year in case market dynamics change. The impact of the COVID-19 pandemic is considered at a country-specific level. This market comprises prescription drugs and all OTC drugs covered in the Statista OTC Pharmaceuticals market. However, in the OTC Pharmaceuticals market, revenues are based on end-consumer prices.