Espicom's in-depth pharmaceutical market reports are ideal for executives wanting to understand the key drivers in pharmaceutical markets and have access to a wealth of statistical data. Each report opens with an outlook section that provides analysis of the market, 5-year market forecasts, national data projections, market outlook and key developments such as regulation, pricing/reimbursement, intellectual property, health facilities and government policy. The report also provides extensive background information, population trends, health status, health expenditure, organisation & administration, hospital services, medical personnel, healthcare development, market access information, trade data for raw materials and finished products and essential industry contacts. Included with the report are 3 free quarterly updated outlook reports, enabling you to keep up to date with market developments for a year. The Malaysian healthcare system has grown rapidly since the 1980s, particularly in the private sector, although growth has not been quite as spectacular in recent years. The government has made improving standards of public healthcare a priority, although schemes to boost the number of physicians and hospital facilities have so far met with varying degrees of success. Rural facilities in particular are poorly staffed and very basic.

Imported products account for around 70% of the market. This figure represents annual increases of around 10% since 2001, as market growth has returned to pre-1997 levels. Imports have continued to grow strongly in recent years, and this trend is expected to continue in the medium term.

Around 60-70% of the market is in the private sector. Much of this is informal, with prescription drugs often available over the counter. As in many Asian countries, physicians often sell the drugs they prescribe; around 45% of non-OTC drugs are sold by dispensing medical practitioners, with a further 30% being sold through public/private healthcare institutions. Dispensing pharmacies account for the remaining 10%. The counterfeiting of drugs is a significant characteristic of the Malaysian industry, although steps to combat this, such as the ‘Meditag' system have been introduced, and the crack down on counterfeit drugs has stepped up.

Malaysia and the United States failed to reach an agreement in the proposed FTA as of April 2007, with the government refusing to be pressured into a deal until several crucial areas, including government procurement projects, are agreed upon. For the pharmaceutical industry, the FTA would make Malaysia a more attractive prospect for US pharma companies, much to the detriment of local manufacturers, who mainly produce generics, and are likely to come off worse, especially in areas like intellectual property rights. In anticipation of this, there has already been increased emphasis and investment by the public and private sector in the setting up of niche biotechnology companies, as local drug manufacturers are expected to find it difficult to remain competitive once the FTA comes to fruition.