ACCESS the EGGVP market study on EU generic veterinary medicines

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MAIN FINDINGS

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Q&A

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REFERENCES

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MAIN FINDINGS

ACCESS the Generic Veterinary Medicines video!

EGGVP is pleased to present here under the main results of the first ever market analysis study for the generic veterinary product business in Europe. Carried out by market research company Kynetec, this study assesses the added value generics bring to veterinarians, farmers and pet owners across all EU Member States. It is based on reliable data obtained through industry surveys and research. In particular, the study highlights the robustness, dynamism and continuous expansion of the EU’s generic veterinary product segment, representing today one third of the EU’s animal health market and half of all EU veterinary marketing authorisations.

 

 

 

 

Generic companies: significant share of the EU ANIMAL HEALTH MARKET

  • Per survey criteria, 185 companies qualify in the EU as “generic companies”. Among these, at least 93 companies (50%) match the SME criteria.
  • Represent about 1/3 of the total value of the market with a turnover estimated around 2.9 billion € in 2016.
  • Employ approximately 30,000 employees across the EU.

 

Generic companies: significant input to AVAILABILITY and ACCESSIBILITY

  • Hold around 25,000 veterinary marketing authorizations (48% of all the EU marketing authorisations).
  • Headquarters in EU countries, hold marketing authorisations in all of the EU 28 MS.
  • Very active in the market; about 600 new marketing authorisations registered each year, significant input availability and accessibility.
  • Covering all therapeutic areas.
  • Bringing innovations to the market as their portfolios also include some originator products, as well as generics that offer improved features compared to the originator.
  • Covering all major species as well as many medicines for minor species and uncommon conditions.

 

Generic veterinary medicines: ADDED VALUE for users and society

  • Generic veterinary medicines can bring different improvements to the market, with many benefits for the users.

Q&A

  • Q: Are generic medicines of equivalent quality to the originators? +
    • A: Generic medicines are authorised and placed on the market after IP and other protection periods associated to the originator product have expired. Often, a period of up to 25 years may lapse before the first entrance of the medicine’s generic. As such, generics are produced using more modern technologies, better analytical capacities and materials complying with the most recent (and more stringent) regulations. Just as for originator medicines, strict EU regulations and controls ensure the quality, safety and efficacy compliance for generics – they are assessed thoroughly by the EU and National regulatory authorities before being launched on the market. Generics are undoubtedly high-quality products, offering safe, effective and affordable treatment options to veterinarians, farmers and pet owners.
  • Q: What is the impact of generic medicines on the EU Animal Health market? +
    • A: Generic veterinary medicines are at the heart of Europe’s animal health sector. Kynetec’s study shows that, in 2016, the European Animal Health market was worth 8.4 billion Euros, with generic companies representing one third of the total turnover at 2.9 billion Euros. Generic companies in 2016 employed approximately 30,000 people across Europe. On an EU and global level, turnover and employee count of the generics industry has steadily grown year-on-year. 2018 figures for EGGVP members alone show a progression by almost one third between 2011 and 2018 for turnover, and 36% for employee growth. In addition to the products placed on the EU market, a significant amount of the generic companies’ production is also exported worldwide. Being developed and produced in Europe, this export activity contributes to European economic growth and welfare.
  • Q: What are the benefits brought by the generic veterinary industry? +
    • A: The generic veterinary industry plays a fundamental role in favouring better access to treatment, increasing the range of available choices and offering a wider and improved variety of treatments. The study finds five main benefits:
      AVAILABILITY: Generics are present in every EU Member State, across all therapeutic areas and for a wide range of different species – both major and minor species. As such, they helpto fill gaps in markets where originators are not present (mainly smaller markets), or for species and indications where there is no originator medicine available. The market analysis study finds that the generic veterinary industry holds 48% of all the EU Marketing Authorisations, and registers 600 new Marketing Authorisations on average every year.
      CONVENIENCE: Thanks toimprovements in presentation, palatability or solubility, generic medicines are often easier to administer as they can be better dosed to the animal being treated.
      COMPLIANCE: By widening the range of available medicines to more species and indications, the generic veterinary industry enables better treatment rates across Europe. The improved features also ameliorate and facilitate adherence to therapies.
      EFFICACY and SAFETY: Improved formulations as well as more suitable and better adapted features in generics may provide advantages without compromising the safety, efficacy and quality of the product.
      SAVINGS: Generics stimulate a healthy competitive environment. The study finds that the introduction of one or several generics will always lead to a price decrease in that market segment, with a drop in comparison with the originator price of up to 50%.
  • Q: Is the generic veterinary industry also innovative?+
    • A: Innovation plays an important role in the activities of generic companies. R&D represents a significant segment of the business alongside with the development of purely generic medicines. While the generic veterinary industry does not create new molecules, it innovates through product improvements. The study shows that the generic veterinary industry does not simply provide equivalents to originator products: rather, starting from an existing molecule, the generic veterinary industry brings improved features to the originator medicine such as enhanced formulations due to the use of alternative excipients, more convenient pharmaceutical dose forms or units and sizes of presentations, in addition to targeting species and indications the originator does not cover. The EU generic veterinary industry addresses existing animal health and welfare needs by developing a great deal of optimised medicines with an added value compared to originator medicines.
  • Q: Who are the generic companies? +
    • A: The survey found that in Europe 185 companies qualify as “generic companies”. At least 50% of these 185 companies are small and medium-sized enterprises (SMEs), often family-owned, and employing an average of 257 employees per company. Generic companies are present in all European countries, with all EGGVP members having headquarters in Europe.
  • Q: What is the portfolio of products offered by generic companies? +
    • A: The EU generics veterinary sector offers a vast range of products, targeting all therapeutic areas (antibiotics, anti-inflammatories, antiparasitics, hormones, nutrients, topical products, vaccines, hepatodigestives and others) for a wide variety of animal species and indications. The study finds that generic companies hold about 28,000 marketing authorisations. Among these, almost 1,400 are marketing authorisations for minor species (such as rabbits, goats, birds and fish), or less common conditions. The range of Marketing Authorisations held by generics companies includes 47% of oral pharmaceutical forms, 33% injectables and 16% topicals.
  • Q: About the European Group for Generic Veterinary Products (EGGVP)+
    • A: – EGGVP is an independent organisation representing the generic veterinary pharmaceutical industry in Europe focused on the development and marketing of generic medicines for food producing animals and pets. Its objective is to increase the availability of affordable, high quality, safe and effective veterinary medicinal products to veterinarians, farmers and pet owners across Europe.
      – A highly dynamic and agile actor and trusted voice in the EU’s veterinary network, EGGVP is a member-driven organisation, founded upon the principles of transparency and collaboration.
      – In 2018 EGGVP had a total turnover of almost 1.4 billion Euros exporting actively outside the EU. A European industry, its 24 company members, who are mainly SMEs, are all headquartered in the EU and count a total of 5.800 employees. EGGVP members collectively hold more than 10 000 Market Authorisations across the EU.