Kazakhstan

Economy Overview

  • Population:16.2 M (Growth Rate:6.8/1,000 population (2009 est.)
  • Urban Population is 54%
  • GDP (Purchase Power Parity: USD 182.3 Billion (2009 est.) Growth:1%
  • Per Capita GDP in 2008: USD 7800 (ranked 83rd in the world)
  • Currency-Tinge, 1 USD =  144 Tinge

Literacy Rate: 99.5%

Healthcare Expenditure % of GDP-3.5%

Total HealthCare expenditure in % of GDP - 3.5%

Kazakhstan, the largest of the former Soviet republics in territory, excluding Russia, possesses enormous fossil fuel reserves and plentiful supplies of other minerals and metals.

It also has a large agricultural sector featuring livestock and grain. Kazakhstan's industrial sector is primarily focused on the extraction and processing of these natural resources.

Kazakhstan enjoyed double-digit growth in 2000-01 and 8% or more per year in 2002-07 - thanks largely to its booming energy sector but also to economic reform, good harvests, and increased foreign investment; GDP growth slowed to 3.3% in 2008, and to 1% in 2009,  as a result of decline in oil and metals prices and problems in the banking sector following the global financial crisis.

The country has embarked upon an industrial policy designed to diversify the economy away from overdependence on the oil sector by developing its manufacturing potential. The policy changed the corporate tax code to favor domestic industry as a means to reduce the influence of foreign investment and foreign personnel.

Kazakhstan Pharmaceutical Market:

The largest of the former Soviet Republics after Russia, Kazakhstan has modernized faster than many CIS countries to create a globally integrated country via rapid privatization, stabilizing economic and political infrastructures. In recent years the pharmaceutical market has changed dramatically from a fully state controlled industry to be a modern consumer led free market. After becoming a WTO member, Kazakhstan has brought its local healthcare regulations in line with international standards.

However till date the government owns 80% of medical institutions in Kazakhstan thus the government plays a significant role in pharmaceutical market. The government has planned major reforms under new Kazakhstan health care code which came into force from 1st January 2009 with following main measures.

  • Public health care expenditure is to be increased to 4% of GDP
  • Creation of unified healthcare information system
  • Construction of new hospitals, clinics and laboratory facilities
  • Emphasis on local manufacturing of competitive pharmaceutical and medical products
  • Health manpower training and retraining

However, the growth forecast for Kazakh Pharmaceutical market remains conservative at a compound growth rate (CAGR) of 7.55 % in US dollars and 13.54% in local currency terms for 2009-2014. The pharma market size in year 2009 overdrew 1billion USD. At present there are over 10,000 companies registered in Kazakhstan representing 100 countries and account for 80% of market share. The government wants the domestic industry to account for 50% of pharmaceutical supplies (in volume terms) by 2014. As a stepping step to this ambitious plan country’s state sector distributor S. K. Farmatsia carried out its pilot centralized tender for medicines in 2009 preferring local manufacturer over other manufacturers. In spite of the government’s preference to local manufacturing, foreign MNC s are still contributing a mega share of the market.

Indian pharmaceutical industry has transformed itself into a powerful and prominent player in Kazakhstan, enjoying 5% of market share. All Indian major pharmaceutical companies are present in Kazakhstan. Indian products enjoy reputation of quality products with competitive prices.

Viva Group in Kazakhstan

VIVA Group in CIS countries has its subsidiary Life Care Ethicals in Kazakhstan. The company today is exclusive distributor and marketing arm for many leading companies.

The company is armed with good warehousing and distribution infrastructure.

The company has partnership with all major national and regional distributors for a wider coverage of Kazakhstan.

Team of 40 Medical Representatives and Line Managers are meeting 7,000 doctors and 3,000 retail chemists every month. 

We are present in all 14 regions of Kazakhstan. Our field force meets 500 doctors and 200 Aptekas every day. Our products are readily available in almost every city and town of Kazakhstan.  We deal with top national and local distributors of Kazakhstan. Distributors of Almaty like  Amity, Medicus, MT Pharma, Interpharma  and Medservice contribute 50% to our total sales .