Philippine generic pharmaceutical market to expand amidst policy shifts

Expenditure is expected to reach a market value of $3.8b by 2028.

Philippines’ generic drug expenditure is projected to grow at a compound annual growth rate of 5% in US dollar terms between 2023 and 2028 to reach a market value of $3.8b, said BMI.

The general pharmaceutical market’s growth is attributed to improvements in the drug review and approval process, which are expected to incentivise the sector’s manufacturers to introduce their products in the country.

“It is now required that all medicine packaging includes generic names to enhance transparency and affordability for patients. Doctors will be requested to list both the generic name and the brand name in parentheses,” the report said.

Meanwhile, the Philippines Food and Drug Administration (FDA) announced last February that it would reduce the time for approving generic drug applications from 120 to 45 days. 

The FDA clarified that whilst the number of requirements remains unchanged, it will leverage evaluations from regulatory bodies like the US FDA to expedite the approval process. 

“As such, the emphasis on generics could challenge innovative drugmakers, who will have to navigate a market with strong governmental support for more affordable healthcare solutions,” the report added.