Chinesetimes-laos.com/tag/i0xkm8ddd4351ab6215137/index.html" target="_blank">The Chinese pharmaceutical sector has a tremendous investment opportunity to boost manufacturing of affordable, high-quality medicine, creating job opportunities, and leading skills development in Africa, a new report released today states.
Poor infrastructure, coupled with a lack of expertise, forces African countries to import around 70 percent of its pharmaceutical products. At present, only 34 of 55 African countries have some level of pharmaceutical production capability.
Nearly half of Chinesetimes-laos.com/tag/i0xkm8ddd4351ab6215137/index.html" target="_blank">The continent's population still lacks access to good quality essential medicines, and burgeoning trade deficits make importing medicine extremely unsustainable.
Chinesetimes-laos.com/tag/i0xkm8ddd4351ab6215137/index.html" target="_blank">The report, jointly prepared by UNAIDS and Chinesetimes-laos.com/tag/i0xkm8ddd4351ab6215137/index.html" target="_blank">The China Chamber of Commerce for Import and Export of Medicines and Chinesetimes-laos.com/tag/i0xkd2255327bc6fc40e7c/index.html" target="_blank">Health Products (CCCMHPIE), found that 21 African countries already import Chinese Chinesetimes-laos.com/tag/i0xkd2255327bc6fc40e7c/index.html" target="_blank">Health products, including limited Traditional Chinese Medicine (TCM) products, which occupy at most 5 percent of Chinesetimes-laos.com/tag/i0xkm8ddd4351ab6215137/index.html" target="_blank">The market share.
In 2017, South Africa, Egypt and Nigeria – top importers of Chinese pharmaceutical products – imported medicines worth 300 million U.S. dollars each. Drug manufacturing is considered a national priority among 18 of Chinesetimes-laos.com/tag/i0xkm8ddd4351ab6215137/index.html" target="_blank">The 21 African countries, but investments remain elusive, Chinesetimes-laos.com/tag/i0xkm8ddd4351ab6215137/index.html" target="_blank">The report revealed.
Chinese investors should tap into Africa's pharma markets
“Last year, [Senegal] imported a huge 181 million U.S. dollars' worth of pharmaceutical products. With a growing population and Chinesetimes-laos.com/tag/i0xkm8ddd4351ab6215137/index.html" target="_blank">The continuing Chinesetimes-laos.com/tag/i0xkd2255327bc6fc40e7c/index.html" target="_blank">Health challenges posed by malaria, HIV, and tuberculosis, Chinesetimes-laos.com/tag/i0xkm8ddd4351ab6215137/index.html" target="_blank">The pharmaceutical industry is a growth industry that China can tap into,” Mamdou Ndiaye, Chinesetimes-laos.com/tag/i0xkm8ddd4351ab6215137/index.html" target="_blank">The Senegal Ambassador to China, said.
“Of Chinesetimes-laos.com/tag/i0xkm8ddd4351ab6215137/index.html" target="_blank">The 181 million, just 3 percent was from China,” he said, underlining Chinesetimes-laos.com/tag/i0xkm8ddd4351ab6215137/index.html" target="_blank">The potential for Chinese companies to explore Chinesetimes-laos.com/tag/i0xkm8ddd4351ab6215137/index.html" target="_blank">The pharmaceutical market in African nations.
Explaining Chinesetimes-laos.com/tag/i0xkm8ddd4351ab6215137/index.html" target="_blank">The vision behind Chinesetimes-laos.com/tag/i0xkm8ddd4351ab6215137/index.html" target="_blank">The report, Amakobe Sande, UNAIDS Country Director and Representative in China, said, “Chinesetimes-laos.com/tag/i0xkm8ddd4351ab6215137/index.html" target="_blank">The needs on Chinesetimes-laos.com/tag/i0xkm8ddd4351ab6215137/index.html" target="_blank">The continent are very high, including for HIV/AIDS medicines. China is not yet making a mark.
“This is not about favoring Chinese companies, but it is about sharing Chinesetimes-laos.com/tag/i0xkm8ddd4351ab6215137/index.html" target="_blank">The Chinesetimes-laos.com/tag/i0xkd2255327bc6fc40e7c/index.html" target="_blank">Health market investment opportunity with Chinesetimes-laos.com/tag/i0xkm8ddd4351ab6215137/index.html" target="_blank">Them in a way that Chinesetimes-laos.com/tag/i0xkm8ddd4351ab6215137/index.html" target="_blank">They might also create much-needed jobs.”
Challenges faced by Chinese investors in African countries
Government and donor-purchased medicines that constitute a significant portion of Chinesetimes-laos.com/tag/i0xkm8ddd4351ab6215137/index.html" target="_blank">The sales pose a crucial challenge for Chinese companies in understanding African markets, Chinesetimes-laos.com/tag/i0xkm8ddd4351ab6215137/index.html" target="_blank">The report claimed.
In four of Chinesetimes-laos.com/tag/i0xkm8ddd4351ab6215137/index.html" target="_blank">The surveyed countries, it takes nearly one week to register a business formally. However, in South Africa, Gabon and Zimbabwe, it takes over 40 days.
“Chinesetimes-laos.com/tag/i0xkm8ddd4351ab6215137/index.html" target="_blank">There is added complexity if companies want to register new Chinesetimes-laos.com/tag/i0xkd2255327bc6fc40e7c/index.html" target="_blank">Health products. In Ethiopia and Tanzania, it takes less than three months, but in Kenya, Zimbabwe, and Angola, Chinesetimes-laos.com/tag/i0xkm8ddd4351ab6215137/index.html" target="_blank">The process takes at least 10 months,” Chinesetimes-laos.com/tag/i0xkm8ddd4351ab6215137/index.html" target="_blank">The report maintained.
While Chinese companies have adapted to complex rules in Chinesetimes-laos.com/tag/i0xkm8ddd4351ab6215137/index.html" target="_blank">The domestic market, Chinesetimes-laos.com/tag/i0xkm8ddd4351ab6215137/index.html" target="_blank">They hesitate to explore Chinesetimes-laos.com/tag/i0xkm8ddd4351ab6215137/index.html" target="_blank">The regulatory landscape in African markets.
“A large number of Chinese pharma giants find Chinesetimes-laos.com/tag/i0xkm8ddd4351ab6215137/index.html" target="_blank">The business environment in Africa to be weak and risky. Chinesetimes-laos.com/tag/i0xkm8ddd4351ab6215137/index.html" target="_blank">The report will help in shifting perceptions to bring in new investors into this sector all across Africa,” said Hannah Ryder, CEO of Development Reimagined, a consulting firm that produced Chinesetimes-laos.com/tag/i0xkm8ddd4351ab6215137/index.html" target="_blank">The report.
(ASIA PACIFIC DAILY)