Analysis of the economic situation of the South East European pharmaceutical industry

Abstract

Background: The pharmaceutical industry in the countries of Southeast Europe is still underdeveloped. Despite experience and tradition as well as significant research efforts and innovation potential, there are still big differences among the companies in the pharmaceutical sector of the SEE countries. It is for this reason that the subject of the study is the analysis of the comparative advantage in exports of the pharmaceutical sector of the SEE countries.Aim: The aim is to point out the potential of the sector and the directions of its development. The study also aims to define the position of the pharmaceutical sector in the SEE countries in today’s global context. The study has comprised the pharmaceutical products belonging to group 30 in the HS6 classification and SITC 54 classification in the period 2005–2018.Conclusions: The results of the study indicate that the SEE countries have negative comparative advantage in exports, in the analysed period, except for Slovenia, which stands out with positive values of the RCA index. The products, dominating the foreign trade of the SEE pharmaceutical sector, belong to the group of Medicaments consisting of mixed or unmixed products for therapeutic or prophylactic uses.