The total pharmaceutical market in Canada, expressed in units of generics in value, stood at 23 in 2023. Over the past decade, the market experienced a consistent decline from 30 in 2013 to its lowest point at 22.4 in 2020 and 2021. The period from 2013 to 2019 saw significant year-on-year decreases, with the most notable drop occurring in 2019 (-8.8%). However, the trend softened starting in 2020, with the market value stabilizing at 22.4 for two consecutive years. There was a slight recovery in 2022, with a 2.68% year-on-year increase, and the market value remained steady in 2023. The compound annual growth rate (CAGR) over the last five years shows a less steep decline, indicative of market stabilization.
Looking forward, the market is expected to gradually increase from 2024 to 2028, reaching 23.9, with the forecasted 5-year CAGR at 0.51%. This indicates a positive turn for the pharmaceutical sector, albeit at a modest growth rate of 2.58% over the period.
Future trends to watch for include:
- The adoption of new healthcare policies and their impact on generic drug pricing.
- Technological advancements in pharmaceuticals and potential new market entrants.
- Changes in consumer behavior towards generic drugs post-pandemic.
- Impact of international trade agreements and supply chain resilience.
