Page 70 - InvestmentGuideBrasilEng

Life Sciences

Brazil is an ideal location for companies aiming to the period from 2001 to 2011, compared to 10% in
diversify life sciences activities in a market that of- Latin America and 6% worldwide. In 2011, Brazilians
fers both scale and robust growth rates. The fun- used SUS for 740 million exams, 2.4 million chemo- ? Margins of preference have been established $300 million in equipment, subsidies for
damentals driving the market in the life sciences therapy treatments and 4 million surgeries. under the SUS (universal healthcare) professional training, financing and materials.
sector include the sheer size of Brazil’s consumer Brazil has a strong medical device market program, allowing the public sector to
market, fast-growing healthcare expenditures in that is able to meet current demand, with 90% purchase essential medical equipment ? The Ministry of Health is currently expanding
both public and private healthcare services and of an average hospital’s technological and equip- that is up to 25% more expensive when its procurement database to include a national
the gradual shift to an aging population. ment needs fulfilled locally. Future growth in the manufactured in Brazil in order to stimulate inventory of essential medical devices (in
33% of Brazil’s population of 201 million is still life sciences sector will stem from businesses local investment in the life sciences sector. addition to the current inventory of essential
under the age of 20, with an average life expec- that bring new innovative products to market, medications), as well as listing products and
tancy at 73 years old. While Brazil’s demograph- including transferred technology not currently ? Promotion of public-private partnerships medications which will benefit from priority
ics favor continued growth in the economically present in Brazil. Industry leaders, including 3M, for technology transfer and development patent approvals and other required certification.
active population (those between 15 and 59 years Baxter, Beckton Dickinson, Dentsply, Fresenius, through a network of public laboratories
old) through around the year 2020, the number GE Healthcare, Geratherm, Johnson & Johnson, that spans the country. These Production At present, the states of Brazil’s South and
of people over the age of 60 is also growing. Be- Philips, Roche and Siemens Healthcare are al- Development Partnerships will expedite Southeast regions host 98% of medical technolo-
tween 2001 and 2011, the number of pensioners ready present in Brazil. the registration and public purchase of gy firms doing business in Brazil, as well as a large
aged 60 years or more grew from 15.5 million to In order to ensure continued quality in the technology required by SUS when developed number of incubators, research and development
23.5 million. healthcare sector, there are a number of incen- with and transferred to public laboratories. centers, public laboratories and technology parks
Healthcare is responsible for 9% of Brazil’s tives and conditions in place that make Brazil a with a focus on biosciences and medical technol-
GDP, with the country operating both a univer- top destination for foreign investment and tech- ? Norms and standards in the sector have ogy. There is a strong presence of public laborato-
sal healthcare system called SUS (Sistema Unico nological development in the life sciences sector: been harmonized with internationally ries in the Northeast Region of Brazil. These lab-
de Saude), which accounts of almost half of total accepted regulations to facilitate oratories play a role in partnerships with foreign
healthcare spending and serves 80% of the popu- ? $1 billion of new investment between 2012 technology transfer and trade. companies wishing to enter or expand in Brazil.
lation, and a private healthcare industry. and 2014 under the Healthcare Industry
The demands of operating a universal health- Investment Program (PROCIS), aimed at ? The Ministry of Health has established
care system in the world’s fifth-largest country by increasing the capacity for innovation. several SUS expansion programs to develop
population are immense, but a further market driv- specific areas such as radiotherapy, investing
er is the expansion in the middle class by 40 million ? Attractive funding and financing conditions
over the past decade. Per capita expenditure on from the Brazilian Development Bank (BNDES)
healthcare has grown by almost 14% in Brazil over and the Brazilian Innovation Agency (FINEP).
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