Over-the-counter segment accelerates Ukrainian pharmacists' entry into foreign markets - expert

Over-the-counter drugs in the retail segment give Ukrainian pharmaceutical manufacturers the opportunity to enter foreign markets, says Oleksandr Partyshev, commercial director of the pharmaceutical corporation Arterium.

"The retail segment allows you to enter the market faster, reach a wider audience, in particular thanks to over-the-counter drugs, dietary supplements and cosmetics. In addition, there is less state regulation of markups here, which increases its commercial attractiveness," he told the Interfax-Ukraine agency, commenting on the trends in the development of pharmaceutical exports.

At the same time, Partyshev noted that companies with a developed portfolio of prescription drugs understand the importance of being present in the hospital segment.

"This is about the sale of specialized drugs, often more expensive, for the treatment of conditions that require hospitalization," he explained.

According to Partyshev, exports in the prescription and hospital drug segment are more difficult, because local manufacturers have preferences, but at the same time, it makes it possible to work with government procurement.

"Ukrainian companies are achieving certain success here too - thanks to the presence in the portfolio of a wide range of modern prescription drugs that are more affordable compared to European analogues," he said.

Partyshev gave the example of the Kazakh market, where the share of the hospital segment among Ukrainian manufacturers in 2024 is 38.4% in US dollars and 9.4% in packages. At the same time, the growth in exports in the hospital segment by the end of 2024 for Ukrainian manufacturers in general reached 72.5% in US dollars compared to the growth in the retail market (+21.6%).

Commenting on the most attractive export markets today, Partyshev called the countries of Southeast Asia, Africa and Latin America, but noted that the choice of market depends on the specifics of the company's products, regulatory requirements, risks, business features and logistics capabilities.

According to him, Arterium focuses its main attention, in particular, on expanding its activities in Central and Southeast Asia, Europe and neighboring regions. In particular, in 2024, exports of products to Central Asian countries increased by 17% in monetary terms, and the markets of Kazakhstan and Uzbekistan are the largest and most attractive both in size and growth rates.