Brazilian Firms Report Stellar Market Growth in 2004
According to Brazilian industry federation Febrafarma, the country's drug market expanded by 17.67% in 2004, reaching a value of BRL19.8bn (US$8.11bn). The association notes that this is the best performance since 1998, when sales began a long slide as the economy declined.
The results confirm views that the market recovered strongly in 2004, with the medium-term outlook now strong. The consensus among local players is that market growth will cool to roughly 9% this year.
Febrafarma, which represents drug firms accounting for roughly 70% of the market, also expects member companies to invest some US$314mn this year. In addition to modernisation spending, US$32.5mn is to be spent on R&D, with US$35.7mn allocated to new marketing expenditure.