The president of the Moroccan Federation of Pharmaceutical Industry and Innovation (FMIIP), Mohamed El Bouhmadi, gave an interview to MAP, in which he spoke regarding the potential of the pharmaceutical industry sector which takes more and more weight in the Moroccan economy. Here is the content:
– What place does the pharmaceutical industry occupy in the national economy?
Our sector is one of the most dynamic in the Moroccan economy and is now preparing to play a major role in the transformational projects recently launched by His Majesty King Mohammed VI.
At the level of the industrial fabric, it is a key sector which represents more than 5.2% of industrial GDP, but not only: it is also the second chemical activity following phosphates.
Our industry has succeeded in achieving, thanks to its 60 years of expertise, drug quality that meets international standards. We also contribute to the development of research in our country, through clinical trials, bioequivalence, galenic developments, etc.
– How can this industry contribute to achieving health sovereignty in Morocco?
Our industry is committed to implementing the royal vision, which consists of making this sector a regional and continental success story, particularly in the context of the overhaul of the national health system and the reform of social safety nets.
For us, the success of this reform, which was the subject of the fourth edition of Pharma Day, remains dependent on the strengthening of national medical capacities, and our country aspires today to a significant and lasting reduction in disparities for a better social cohesion, which requires guaranteeing fair access for all citizens to quality health care.
This challenge, the national private actors that we represent within the FMIIP, are ready to support it and contribute to meeting it. With more than 16 billion dirhams in annual turnover in 2021, our pharmaceutical industry now has the critical size to support this dynamic initiated to strengthen our health sovereignty.
– What is your reading of the potential of the pharmaceutical industry in terms of export?
I remind you in this respect of the recommendations that we addressed to the Special Commission in charge of the New Development Model as well as our contribution to the white paper of the CGEM, the essential substance of which is as follows: the establishment of a logic of ecosystem and Hub towards Africa, making the Kingdom an essential platform capable of exporting and re-exporting through innovative mechanisms.
Anxious to boost the export capacity of our country, we have also developed a platform of key initiatives to strengthen local manufacturing, in particular through support for the export of local industry.
I also remind you that local manufacturers, grouped within the FMIIP, alone represent 80% of Moroccan drug exports. Thus, by capitalizing on our achievements, we might reach 35% of the export rate by 2026 by consolidating existing markets in Africa and the Middle East, and aiming for up to 45% of the export rate. by 2035, through an opening to Europe and the United States.
– What is the outlook for this industry?
Within the FMIIP, we have developed a vision that we have erected as guidelines for our action in order to unlock the production potential of local manufacturing. In this context, we have observed that the national industrial fabric has considerable potential for progress, making it possible to cover 80% of demand and to export up to 45% of local production, while it meets only 51 % of national needs today.
Thus, in accordance with the spirit of the New Development Model, the FMIIP estimates that by 2035, the Moroccan pharmaceutical industry should be able to triple its workforce to reach 150,000 direct and indirect jobs and double the number of Industrial Pharmaceutical Establishments (PPE) installed in Morocco to reach 110 establishments.
With the generalization of CSU, the arrival of new players on the market and the expected launch of Sensyo Pharmatech, the size of the national pharmaceutical market might reach up to 50 billion dirhams by 2026. The FMIIP also foresees a period continuous growth supported by exports and dividends from R&D of up to 80 billion dirhams by 2035.
The development of R&D is also at the heart of the ambition of local manufacturers, which aim to increase the expenditure of the pharmaceutical industry to reach 8 billion dirhams by 2035.
– How does the FMIIP support this industry?
The FMIIP, as you know, has always been a strategic player in the field of health and medicine. Since its creation in 1985, our association, which recently became a federation, has set itself the task of strengthening the Moroccan health system as a whole and improving accessibility to innovative and generic drugs. There is no shortage of figures to illustrate the weight of the FMIIP in this industry.
Indeed, the drug manufacturers, grouped within the FMIIP, realize more than 80% of the added value of the sector, manufacture 90% of generic drugs in Morocco and represent 80% of the tax revenue of the sector.
Today, we are also supporting this industry by giving new impetus to scientific research and innovation. Moreover, local manufacturers have undertaken to develop different galenic forms as well as generic and biosimilar drugs, contributing to the enrichment of the therapeutic arsenal.
To support the growth of our industry, we also signed, on April 16, 2021 in Casablanca, a framework agreement relating to the creation of a professional training institute in the pharmaceutical industry, which should see the light of day soon. The objective is to create a concrete bridge between vocational training and the business world.