On May 10th, results from the 2017 Biopharmaceutical Competitiveness and Investment (BCI) Survey were presented at a meeting organized by the Chamber of Pharmaceutical Innovation of Chile (CIF).
The BCI Survey, conducted by the international consulting firm Pugatch Consilium and commissioned by PhRMA and FIFARMA, evaluated 31 of the largest and most active pharmaceutical markets in the world, five of them in Latin America, to determine their relative attractiveness for biopharmaceutical investment. Chile was included in the survey for the first time in 2017, given the growing prominence of its healthcare industry in Latin America and among other emerging markets, including Singapore, Israel, Taiwan and Korea.
“The study reaffirms that the regulatory environment matters,” said Daniel Coriat, Director at Pugatch Consilium. “The index not only reveals which economies are more or less competitive in the biopharmaceutical sector, but also provides formulas to create attractive environments for foreign investment. The markets that have implemented economic and regulatory policies favorable to the pharmaceutical sector in the 5 areas covered by the BCI – such as Singapore, which has had significant progress in recent years, especially in the areas of regulatory and intellectual property protection and with a 87% score on the BCI index – have also experienced increased confidence among local business leaders, who as a result, are more prone to expand their operations, despite the small size of these economies.”
Chile and Latin America in the Ranking
According to the 2017 BCI LATAM report, which evaluated 11 countries in the region, Chile ranked highest (with a score of 69.4%) in terms of attractiveness for biopharmaceutical investment in the region. According to the perception of executives interviewed, this is largely due to coherent economic and regulatory policies that are being implemented with a long-term vision of Chile becoming a center for pharmaceutical innovation.
Specifically, respondents ranked Chile highly in the following categories: environment for clinical studies, infrastructure of CROs (Contract Research Organizations), a simplified drug approval process, and a strong regulatory environment anchored to a regulatory body that has been designated as level 4 by PAHO/WHO and a robust registration framework for pharmaceutical products. However, respondents predict that the regulatory changes in the field of clinical trials resulting from the Ricarte Soto Law (continuity of treatment and responsibility without direct causality and in any event) will introduce significant uncertainty and may affect clinical research investment in the country.
“This ranking confirms Chile’s potential to develop into a world-class destination for biomedicine and the export of health services, contributing to productive diversification and the insertion of Chile into international knowledge-intensive activities and innovation,” said Jean-Jacques Duhart, executive vice president of CIF. “This is the path followed by many highly developed countries, and more recently, emerging countries such as Israel and Singapore. These countries have strengthened their services and industries linked to health, using them as an engine of dynamism and innovation and as a connector to other knowledge economies, while generating enormous benefits for the care of patients and the health of their populations.“