Industry Trend Analysis - Minimal Revenue Growth Opportunities Despite Positive Market Dynamics - MAR 2018

BMI View: Estonia 's pharmaceutical market will continue to grow at a steady pace over the coming years, driven by growing state medicine reimbursement and a shift towards high-value medicines in the hospital sector. Partially offsetting these revenue earning opportunities , the decline in the population will reduce patient pools and restrict volume growth. Despite a positive growth outlook, the market will fail to provide significant gains for drugmakers on account of its comparably small size.

Revenue-growth opportunities for multinational pharmaceutical firms in Estonia will continue to be minimal on a regional level, limited by the small population size. While the country's pharmaceutical market is forecast to grow at a compound annual growth rate (CAGR) of 5.5% (in local currency terms) between 2017 and 2022, which places it as one of the faster-growing markets among its EU peers, the market will only grow on an absolute basis by just USD136mn in this time period. Among all EU and EEA markets, only Malta (USD99mn), Cyprus (USD89mn), Luxembourg (USD49mn) and Iceland (USD29mn) will provide fewer growth opportunities.

Steady Growth Trajectory To Continue

Minimal Growth Opportunities
Selected EU Member States: Absolute Market Growth, 2017-2022 (USDbn)
Source: BMI

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