German Pharmaceuticals Market Predicted Rise to $86.3 billion by 2021

The pharmaceuticals market in Germany is predicted to increase from $67.9 billion (€52.9 billion) in 2016 to around $83.3 billion (€67.2 billion) in 2021, showing 4.9% growth, according to research and consulting firm GlobalData.

The latest report from the company shows the drive for Germany’s healthcare market-the largest of all EU member states-will be an increase in the elderly population and associated disease burden, while government initiatives to reduce healthcare spending will limit growth.

In an attempt to maintain the country’s economic stability, and as part of the Eurozone’s austerity measures, the German government is focused on reducing healthcare spending by regulating reimbursement and pricing policies through cost-benefit analysis, reference pricing, and analysis of the therapeutic characteristics of medicines. Even with the pressures of the Eurozone crisis, Germany’s fiscal environment has remained stable and allowed for sustained economic growth.

The importance of biopharmaceuticals continues to increase in Germany, with a large number of drugs currently in Phase III clinical trials. In 2015, there were approximately 100 biologically active ingredients in one of the three phases of clinical trials, and 12 biologics received approval, meaning the country is expected to be a future hub of innovative medicines.

For additional information you can view GlobalData’s report here.