Pharmaceutical industry in Russia: How will it develop?

Experts note that all over the world, pharma is the leader of the stock market and the Klondike for Russian investors.

"The pharmaceutical industry is a new driver for the development of the Russian economy, or Why, instead of recreating foreign medicines, it is necessary to develop our own innovative drugs." Industry representatives discussed this topic on the sidelines of SPIEF 2024.

When the sanctions pressure on Russia increased dramatically in 2022, it seemed that medicine and pharma would not be affected by the restrictions, but over the past two years we have often heard about problems with the supply of a number of medicines and preparations to Russia. At first glance, there are two ways out of this situation: do your own thing or just take someone else's, without looking at the legal side of the issue with rights and patents.

However, the second way will definitely lead the country in the wrong direction, Peter Bely, Chairman of the Board of Directors of Promomed, is sure.

Peter the White
Chairman of the Board of Directors of Promomed Company
"Even those cases in which the state has to take decisive action, contrary to the rights granted to patent holders, that is, a tool that is used and recognized in the world for this kind of situation, it is called a "compulsory license", while it has been used only twice in Russia. In particular, the government granted us such a compulsory license when we reproduced a drug for the treatment of metabolic syndrome and diabetes, which a large European company had withdrawn from Russia, and in order for these patients of a very important category not to be left without a continuous cycle drug, the government made such a decision."

However, the manufacturer must still pass all tests and prove the effectiveness and safety of the drug. Ideally, the same efforts can and should be spent not on reproducing foreign drugs, but on creating their own innovative ones. The government needs the same fast track to ensure that the registration of innovative drugs does not take months or years. And we need a strong patent system so that the original drug can go beyond the market of 150 million people in Russia. The same BRICS countries are already 3 billion people. And the original drug is ten times more expensive than generic drugs. And this difference should remain in Russia, believes Petr Bely.

"Our transition to innovation will create this opportunity, this reserve, through which we will be able to invest and create new breakthrough solutions. These are taxes, this is the construction of factories, this is research, this is personnel training. This is a separate, new economy of Russia. Well, this is the new Russian oil and gas."

The expert is convinced that money can be raised to create unique Russian drugs with export potential, including by entering the stock market.

"All over the world, pharma are the leaders of the stock market. This is the same company that stole this vital drug from us, its capitalization is almost a trillion dollars, its capitalization affects the exchange rate of the national currency. That is, for Russia, the entry of biopharmaceutical enterprises into the stock market is generally a new Klondike for the Russian stock market."

According to Pyotr Bely, government officials and colleagues who participated in the discussion of the problem at the SPIEF thematic sessions supported this approach.

Source: BFM.RU

Sources

1. https://www.bfm.ru/special/pmef2024/spage/551783