After many years of preparation, 2021 has been identified as the year marking the position of DHG Pharma in the international market.
While many enterprises are struggling with problems of staff reductions and cost optimization, DHG Pharmaceutical Joint-Stock Company (DHG) is still persistent with its plan to become the leading company in order to bring Vietnamese pharmaceutical industry to the world market. For the past 5 years, the enterprise has continuously been leading in a race of international technology, human and quality innovation, making a practical contribution to the realization of export target of USD1 billion in pharmaceutical products in 2030 that the Government has set.
A bright picture of the pharmaceutical industry in 2021
Although the epidemic situation is still complicated globally, the Vietnamese Government still confidently sets GDP growth target at 6.5% in 2021. The world’s leading financial and banking institutions are also optimistic about the prospects of economic growth in general and GDP growth of Vietnam in particular. Accordingly, the International Monetary Fund (IMF) forecasts that Vietnam's growth this year may reach 6.5% as the Government's target set out thanks to a strong foundation and drastic solutions both Government’s economics and health. The Asian Development Bank (ADB) expects Vietnam's GDP growth to reach 6.3% in 2021. Meanwhile, the World Bank (WB) estimates that this figure may reach 6.8%.
In the period 2020 - 2025, Vietnam's pharmaceutical industry is predicted to continue to be among the top 20 countries with the strongest and most stable growth rates in the world.
Market research firm IBM forecasts that the entire scale of Vietnamese pharmaceutical industry could reach USD7.7 billion by 2021 and up to USD16.1 billion by 2026. The compound growth rate can reach 11%. According to IQVIA, total value of pharmaceutical products consumed in Vietnam will continue growing in 2021, estimated at VND123.6 trillion (an increase of about 8.0% compared to the same period in 2020). It is estimated that spending on health will return to a normal level next year when regulations on social distancing are eased and the population's need for health care returns.
In addition to medical demand from the market of 97 million people, the year 2021 is considered a turning point marking a strong rise in position of Vietnam's pharmaceutical industry in the international market. The main rationale for this firm statement is strong advantages from free trade agreements that Vietnam has signed into in 2020, including EVFTA, RCEP and UKVFTA. Lower tariffs and access to more open main markets will provide Vietnamese exporters a comparative advantage and help diversify their export destinations.
VIRAC and EvaluatePharma said that the double growth rate of the world medicine market in the period 2020-2026 is about 7.4% and that the sales in 2026 will reach USD1.39 billion, much higher than the rate of 2.7% in the period 2012 - 2019. This is a fiscal space for new suppliers, including Vietnam, to increase their contribution to the global market. In the domestic pharmaceutical industry development program to 2030 with a vision to 2045, the Vietnamese Government also sets a pharmaceutical product export target worth USD1 billion by 2030 and the whole pharmaceutical industry will contribute USD20 billion into the country's GDP by 2045.
Position of the leading enterprise - DHG Pharma
A DHG Pharma’s representative said that this is a great opportunity for DHG Pharma when fully converging conditions for the enterprise to achieve its target of becoming the leading pharmaceutical company in the region. DHG Pharma is not only leading in revenue, market share, and production capacity of the pharmaceutical industry for 23 consecutive years, in the Top 10 leading pharmaceutical market in Vietnam but also a company that always brings quality products, reasonable price for consumers.
While many enterprises in the market find to cut their staff, optimize their costs to survive through difficult periods, DHG Pharma still pursues its mission of becoming a pioneer for Vietnam's pharmaceutical industry in the international market.
Besides providing quality products that best meet the needs of domestic consumers through a wide distribution network from urban to rural areas. DHG Pharma also brings a pride to Vietnamese people by constantly opening new export markets. In addition to 15 existing international markets, DHG Pharma is preparing legal papers in host countries to penetrate new fastidious markets. This is not only a problem of increasing the market share of the enterprise, contributing to the realization of the industry's target of USD1 billion in pharmaceutical product export by 2030, but also a national story that affirms the position of Vietnamese medicines in the world.
Japan is expected to be the first fastidious market with the appearance of DHG Pharma products, thanks to strong support from a strategic shareholder - Japan Taisho Corporation, a leading company in production of pharmaceutical products, over-the-counter (OTC) medicines. At the same time, DHG Pharma is also promoting international cooperation with other partners in order to reduce risks in input materials as well as seek more export markets.
By mobilizing maximally all resources, DHG Pharma step by step realizes the target of providing consumers with products of international standard, high quality right in Vietnam. DHG Pharma continues to affirm its leading pioneering position with Japan-GMP international quality in the new decade, promising to create a turning point for domestic pharmaceutical products and strengthen the position of the Vietnamese pharmaceutical industry in the world.
After many years of preparation, 2021 has been identified as the year marking the position of DHG Pharma in the international market.
Vietnam's pharmaceutical industry is expected to continue to be among the top 20 countries with the strongest and most stable growth in the world.
DHG Pharma step by step realizes the target of providing consumers with products of international standard and high quality right in Vietnam.
