The Gulf state ranks among the top three in the Middle East and North Africa (MENA) region for health infrastructure.
Qatar boasts the highest healthcare expenditure per capita in the Gulf Cooperation Council (GCC) with $1.8 bn according to a report by the Investment Promotion Agency Qatar.
The country’s burgeoning pharmaceutical industry is also proving to be an increasingly desirable hub for foreign investment, largely due to its competitive business landscape, robust medical infrastructure, and extensive funding for research and development, according to the organisation.
The global healthcare system, including the pharmaceutical industry, was significantly strained by the Covid-19 pandemic. Despite these challenges, Qatar has showcased remarkable resilience and adaptability, continuing to attract international pharmaceutical investments and push the industry forward.
A cornerstone of Qatar’s success in this space has been the Qatar National Health Strategy 2018-2022. The strategy seeked to develop healthcare services and stimulate private sector involvement, supported by the government’s commitment to steady growth in health expenditure and private healthcare spending.
The organisation said efficient distribution networks and enhanced access to healthcare services add to the market’s attractiveness, guaranteeing the supply of essential medications.
Qatar University’s College of Pharmacy and programmes like the Biomedical Research Training Programme (BRTP) are instrumental in advancing the nation’s scientific and research capabilities, thereby promoting innovation in the pharmaceutical sector.
As the world navigates the aftermath of the pandemic, Qatar maintains a strong foothold in the global pharmaceutical industry, supported by its readiness to adapt, robust infrastructure, and specialised expertise. It ranks among the top three in the Middle East and North Africa (MENA) region for health infrastructure and is poised to continue making substantial contributions in the healthcare sector.
Global projections suggest a period of remarkable growth for the pharmaceutical industry in the years to come. This will be driven by a growing middle class and an ageing global population.
With the pharma market expected to surge by 165.2% between 2020 and 2030, the sector promises profitable opportunities for investors and stakeholders worldwide.
The post-pandemic era has given the industry an unprecedented boost, leading to a record number of biopharmaceutical deals and significant investments in healthcare systems. This trend is gaining traction in the Middle East, particularly in the GCC, marking the advent of a new pharmaceutical industry frontier.
By 2025, the market is anticipated to reach $2,051 billion, a 70% increase from 2020, and drug sales are projected to rise by 32% from 2020, hitting $1,181 billion by 2024.
The Middle East is quickly becoming a significant contributor to this projected growth, according to IPA.
The region’s robust economic development prospects and increased access to medicines make it a lucrative market for pharmaceutical investments. The GCC countries are experiencing a surge in their $9 billion consumer health market, supported by advancements in healthcare and easy access to personalised digital services.
Several key demand drivers, including an aging population, rise in chronic diseases, stress-related illnesses, and pandemics are boosting the pharmaceutical industry. Supply-side drivers such as specialty medicine, patent expiry, generic drugs, and over-the-counter medications also present more opportunities for sector growth.
Among the key pharmaceutical market highlights in the Middle East are the growing market for generic drugs, which was valued at $390.6 billion in 2020 and is expected to reach $574.6 billion by 2030, and the development of personalised medicine, with a market size projected to reach $796.8 billion by 2028, expanding at a compound annual growth rate (CAGR) of 6.2% till 2028.
