The major impetus for growth was given by the Government's Drug reimbursement programme, which saw the consumption value of drugs increased by nearly 74% in 2006.

The commercial drugs market, driven by factors such as an ageing population, an increasing demand for imported and expensive medicines, an obligatory health insurance system and increasing disposable incomes, accounts for nearly half of the total pharmaceutical market. Unlike ethical drugs, the nutrition supplements market is dominated by domestic players but the recent restrictions imposed by the State Duma on the promotion of nutritional supplements have retarted the segment's growth.

The report does a comprehensive analysis of the Russian market, encompassing its demographics, structure of health care sector, size of pharma market, and comparative analysis of the market, among others. Also, a brief overview of the major players operating in the market has been given to present the competitive landscape of the market.

Key Findings

§ The DLO programme, that was one of the main drivers fuelling strong growth, may act as a restraint, owing to the government's recent cost cutting measures.
§ The Russian pharmaceutical market witnessed a trend where the drugs sales decreased in volume terms but increased in value terms.
§ There was a growth in the demand for imported drugs in Russia.
§ Russians are now turning towards expensive drugs with a higher efficacy as compared to the cheaper traditional drugs.

Key Issues Analyzed

§ Where does the Russian pharmaceutical market stand in comparison to other key global markets?
§ What is the market size of various segments in the Russian pharmaceutical industry?
§ What is the proportion of domestic and imported drugs in each segment?
§ What are the opportunities that will emerge in future for the market?

Research Methodology Used

Information Sources
The information in the report has been taken from various credible sources like books, newspapers, trade journals, and white papers, industry portals, government agencies, trade associations, monitoring industry news and developments, and through access to more than 3000 paid databases.

Analysis Methods
The analysis methods include ratio analysis, historical trend analysis, linear regression analysis using software tools, judgmental forecasting and cause and effect analysis.

For the purpose of this report, the Russian pharmaceutical market has been considered to consist of the following segments:

§ The commercial drugs market;
§ The state segment (DLO programme and hospital segment); and
§ The Parapharmaceutical segment (Food Supplements and Cosmetics).

The following currency conversion has been taken in the report:
1 Russian Ruble = US$ 0.039, 1 Euro = US$ 1.38