Germany: The biggest European OTC and Rx market
Germany is the strongest OTC and Rx market in Europe and the evolution of its demographics is a source of opportunities if you are looking to expand your business to the European region.
A strong country in Western Europe with a rich history, Germany is home to the oldest universal healthcare system, dating back to social legislation from the Bismarck Republic. In the last 20 years, life expectancy has increased by four years for women and five years for men, reaching an average of 80.
Since reunification in 1990, Germany has expended considerable funds to harmonize productivity and wages across the country, and prosperity has increased on the basis of German exports, particularly machinery, vehicles, metals, chemicals and other goods necessary in Emerging Markets.
According to the World Health Organization (WHO), Germany’s disease profile reflects its high-income status: heart disease and stroke are the most common causes of death, followed by cancer, particularly of the lung and colon. The general cancer mortality rate is lower than the EU average, but it is slightly higher for breast cancer. Around 28% of the population smokes (Macrotrend.net and Gbe-bud), a relatively high rate. Just under one in four adults in Germany are obese. As a result, Germans live on average 2.6 years less due to being overweight. Being overweight accounts for 10.7% of health expenditure. At a rate of 15,3%, the rate of diabetes in the country places Germany first in Europe.
Nevertheless, Germany places a lot of emphasis on health, which is evident in the OTC market: The revenue of OTC grew by 3,7% in 2019, reaching a worth of USD 11,4 billion. The German OTC and pharma market in 2019 amounted to USD 49 billion, at ex-factory price, experiencing a growth of 5,1% between 2014 and 2019. According to our forecast, it should be worth USD 82 Billion by 2035.
Compared to Europe, the German market is the biggest pharmaceutical market.
Despite tough pricing and reimbursement conditions, as well as the challenging effects of patent expirations, Germany remains one of the largest global pharmaceutical markets, and that status will continue to increase its rewards. Investors still see Germany as a solid proposition.
If you are planning on entering Germany, our expertise and long standing network can support you. The Chameleon Pharma Consulting Group has extensive OTC and pharma expertise in European markets, and we would be thrilled to support you to take advantage of the opportunities Germany has to offer!
The German OTC and pharma market in 2035
USD 81,2 Billion
OTC and pharma market size, ex-factory
OTC and pharma market growth
Germany in numbers
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