The management at the Tenth of Ramadan for Pharmaceutical Industries and Diagnostic Reagents (Rameda) believes that the novel coronavirus (COVID-19) pandemic will continue throughout 2021 and up to the first half (H1) of 2022.
The expectation of a COVID-19 continued worldwide grip takes into account the global rolling out of a vaccine against the virus.
During 2021, and given the second wave of the virus, the company’s management expects the pharmaceuticals market to recover, despite a hike in the number of cases. This is driven by the belief that the Egyptian Government will not re-impose lockdowns or curfews to avoid the negative economic consequences.
The pharmaceutical market has shown some improvements across all business lines, translating into a strong financial performance during the fourth quarter (Q4) of 2020. This was a notable improvement on the financial performance recorded in Q3 of the same year.
According to the latest available data from US firm, IQVIA, Egypt’s retail pharmaceutical market registered total sales of EGP 73.1bn during the first 11 months (11M) of 2020, and recording a growth of 3.8% year-on-year (y-o-y). Rameda’s retail sales grew by around 17% during 11M of 2020, outperforming retail market growth.
Rameda plans to launch between 8 and 10 products in 2021 at high price points, from pharmaceuticals to supplements. In 2020, the company launched nine products, including antiviral medicines against the coronavirus.
The company focuses on potential acquisitions like the previous anti-inflammatory therapeutic acquisition. This is followed by other pharmaceutical products that have unique manufacturing technology that synergise and complement the company’s portfolio.
Rameda plans to enter new markets in 2021, including Saudi Arabia, Kuwait, Bahrain, the UAE, and Pakistan.
It has already started receiving orders, mainly driven by antiviral COVID-19 related medications, from countries such as Jordan, Lebanon and Libya. However, this is subject to the approval of Egypt’s Ministry of Health and Population, and the Egyptian Drug Authority (EDA).
The EDA restricts exports of pharmaceutical products and only allows companies to do so if they prove that they have stock for six months to meet local demand.