Vaccine Market: Dr. Carlos Gadelha – Ministry of Health, Brazil delivered today an interesting presentation at the World Vaccine Congress in Washington about the vaccine market trends in Brazil
Dr. Gadelha began his discussion on vaccine market trends in Brazil by saying that political and social transformations are just as important as economic and industrial dynamics. Since 2003, almost 30 million people in Brazil have moved away from poverty. In the last 10 years, Brazil has almost become a completely new country with respect to its social, demographic, and economic landscape. The health system has changed as well. The 1988 constitution ensures universal access and equity in the comprehensive health system. About 100 million people have been covered by the primary family health care program in 95% of the municipalities. The infant mortality rate has decreased, though it still has a long way to go. Life expectancy increased from 67 years in the 90′s to 73 years in 2009. Challenges include increasing health demands and a mismatch between market trends and the innovation and capacity in various sectors.
Some statistics on Brazil health and development: health represents 8.8% of the GDP, employing 10% of the qualified work force, and expenditures are $100 billion (USD) per year. Brazil now occupies the 6th position in the pharmaceutical market, surpassing the UK. The trade deficit is 10 billion dollars, when it was 3 billion dollars in 2003. This represents a major challenge for the future of Brazil.
Brazil has a century of experience in vaccines. In 1973, the immunization program was established, and has since maintained very high rates of coverage. In 1985, there was the establishment of a vaccine production base. From 2006 on, there was an initiative focused on innovation and R&D. Health is viewed both as a right and as an opportunity for development.
PROCIS is the Industrial Health Complex Investment Program, Launched in 2012. It will invest more than 600 million in public institutions over next 4 years. It aims to support PDPs, strengthen technological capabilities, management training, and productive capacity.
Important market forces include the increase in federal purchasing of health products. Vaccines represent about 15% of the public procurement market. There has been an increase in national immunization and production. There is no real problem with trust with respect to vaccines in Brazil. Polio was eradicated, measles is being eliminated, and preventable diseases are being controlled, so there is a lot of public trust and stable vaccine prices.
Brazil has 36 partnerships in product development (PPPs) covering 35 products and 9 different groups of diseases. Advances are expected to reduce the trade deficit by ~$1 billion in the coming years. Brazil is integrating the national welfare system goals with global health, using the productive interactions between public and private institutions, suppliers, companies, producers.
Challenges include: increasing entrepreneurship, flexibility, and creativity in public institutions; stimulation of private institutions to see that health is a public good that needs legitimacy and societal commitment; and reduction in global technological asymmetries, not only in innovation but also in economics and participation in the global market.
Key message: development depends on productive integration of the national universal health system with the national science, technological and innovation system.
Check back here in a couple of days for the full presentation. Excellent presentation Carlos!