Pharmaceutical market of Moscow

• Pharmaceutical market of Russia

2023: Sobyanin: Moscow "revived" the pharmaceutical industry

On December 20, 2023, Moscow Mayor Sergei Sobyanin, speaking with an annual report to the Moscow City Duma, among other things, spoke about the "revival" of the pharmaceutical industry in the capital. According to the mayor, the city managed to achieve high results thanks to the introduction of long-term contracts with obligations to localize production, and not only to import imported goods.

Moscow has revived the pharmaceutical industry, which in the coming years will reach one of the leading places in the country and will ensure drug safety and independence from imported supplies of vital drugs, Sobyanin said.

Sergei Sobyanin spoke about the "revival" of the pharmaceutical industry in the capital

According to him, by the end of 2023, Moscow had concluded 14 offset contracts for the supply of medicines, medical products for baby food and other products. In addition, thanks to this, more than 10 modern factories appeared in the capital.

In his Telegram channel, Sergei Sobyanin wrote that in the first 8 months of 2023, Moscow increased drug production by 47.6% compared to the same period in 2022. By the end of 2023, there are more than 200 enterprises producing medicines and medical devices in the capital. They produce antitumor drugs and immunomodulators, agents for the treatment of the nervous system, vaccines and much more, the mayor said.

From January to August 2023, manufacturers delivered products to customers worth more than 157 billion rubles. This result was achieved thanks to the systemic support of the city, including offset contracts. In the medical sphere, the capital has nine such agreements. For example, with the company "Biocad" - it produces drugs for the treatment of cancer and autoimmune diseases, and "R-Oprah," which supplies drugs for the prevention and treatment of endocrine and cardiological diseases.^[1]

2022: Production of cancer drugs up 5.1%

In 2022, Moscow pharmaceutical companies released 2.3 million packages of anticancer drugs and immunomodulators, which is 5.1% more than a year earlier. The volume of all production of medicines in the capital during this time increased and 13.9% and reached 33.6 billion rubles. Moscow Mayor Sergei Sobyanin cited such data on March 20, 2023 in his Telegram channel.

According to him, providing medical institutions and the population with modern medicines and vaccines is one of the priority tasks of the capital's authorities.

Over the year, pharmaceutical companies in Moscow released 2.3 million packages of anticancer drugs and immunomodulators

Therefore, we provide systemic and anti-crisis support to pharmaceutical enterprises: we provide subsidies, preferential loans and loans, as well as tax benefits by assigning the status of an industrial complex, - said Sobyanin. - Seven enterprises of the pharmaceutical industry have already received this status.

As an example, the mayor of the capital cited the Binnopharm plant in Zelenograd, which became the world's first site for the production of a vaccine against COVID-19 (Sputnik V). Sergei Sobyanin stressed that the pharmaceutical industry is one of the key in the Moscow industry.

As the mayor noted, by mid-March 2023, 95 pharmaceutical enterprises operate in Moscow, where more than 15 thousand people work. The city produces drugs for the treatment of not only oncological, but also cardiovascular diseases, nervous system disorders, diabetes mellitus, as well as antibiotics and vaccines.

In addition, a large pharmaceutical cluster is being created in the Russian capital on the basis of the Technopolice Moscow special economic zone. It brings together nine drug developers and manufacturers. By 2027, the city plans to increase the number of pharmaceutical industries to 15 enterprises, according to the mayor's website.^[2]

2021: 67.7% increase in drug production

In 2021, Moscow enterprises increased the production of medicines and materials used for medical purposes by 67.7% compared to 2020. Such data on March 9, 2022 was published by the deputy mayor of the capital on economic policy and property and land relations Vladimir Efimov.

According to him, the increase in the production of drugs was largely a consequence of Moscow's support for industrial pharmaceutical enterprises and the technological development of production. Among the pharmaceutical products produced in Moscow are drugs for the treatment of cancer, cardiovascular diseases, the nervous system and other drugs.

Moscow increased drug production by 67.7% over the year

By March 2022, about 80 pharmaceutical manufacturers work in Moscow, and the number of their employees is approximately 15,000 people. In 2021, such enterprises shipped products worth 345.2 billion rubles, which is almost twice as much as in 2020, said Alexander Prokhorov, head of the investment and industrial policy department.

The capital's manufacturing enterprises continue to steadily increase their output. Among them, important areas for the city and residents, in particular the production of medicines, are especially distinguished, - added Vladimir Efimov.

As part of one of the measures to support pharmaceutical enterprises, Moscow concludes offset contracts with enterprises. This allows you to provide the capital with the necessary medicines and attract investments to its economy. In addition, such a public-private partnership allows drug manufacturers to be guaranteed to sell their products.

In addition, residents of the Technopolice Moskva special economic zone can count on tax breaks and other support measures. For example, they are exempted from paying property, transport, land taxes, customs duties, and the income tax rate is 2%.^[3]

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