Why Bangladesh Pharmaceutical

Bangladesh offers the most liberal FDI regime in

South Asia. There is no limit on equity participation
and repatriation of prots and income.
Pharmaceutical
Tax holidays and accelerated depreciation is also A Billion Dollar
allowed.
Businesses exporting at least 80% of goods or
Pharmaceutical Market
services qualify for duty free import of machineries
and spares and bonded warehouse facility.
Cash incentives for selected products.
- Growing at 24.63% annually
Equal treatment for local and foreign investors.
- A billion dollar industry, market doubled in last 4 years
Foreign investment is protected from expropriation
and nationalisation by the Foreign Private - Market projected to grow to 2.00 billion by 2016
Investment (Promotion & Protection) Act 1980. - 25.5% export growth (over 7 years)
Complete duty and quota free access to EU, Japan, - Most liberal FDI regime in South Asia
Canada, Australia and most other developed
countries. - USD 73.7 million exported (2014)
Investors can repatriate dividend and capital at exit.
Young and energetic work force, nearly 60% of the
total population is economically active and almost
a million graduates enter the workforce annually.
Bangladesh is a signatory to ICSID, UNCITRAL, OPIC,
MIGA, WAIPA, WIPO an WTO.

Board of Investment
Prime Ministers Ofce
Jiban Bima Tower (19th Floor)
10, Dilkusha Commercial Area
Dhaka-1100, Bangladesh.
Phone : +880-2-957 7271 Board of Investment
Fax : +880-2-956 2312
E-mail : service@boi.gov.bd Prime Minister's Ofce
Web : www.boi.gov.bd www.boi.gov.bd
Goldman Sachs identies y Bangladesh holds the 14th position in 17 Pharmaceuticals : At a Glance
Bangladesh as one of the eleven regional markets surveyed in BMIs
y The Pharmaceuticals industry started
next big emerging markets. Pharmaceutical & Healthcare Business ourishing with the promulgation of Drug 1100
Environment Ratings for the Asia region. Control Ordinance (1982).
This can be largely attributed to a
series of facelifts in Bangladeshs y Globally, Bangladesh occupies 67th y Nearly 80% cumulative growth in the last three
years means that the Bangladesh 1000
foreign investment policy - position in BMIs pharmaceutical Pharmaceutical market has doubled in just over
including tax holiday facility, universe. Bangladesh's Pharmaceutical four years.
congenial investment climate, rating is 40.2 out of 100; this gure has 900
trainable young labour force, y The retail market crossed USD 1 billion in 2011,
avoiding double taxation, tariff changed marginally from the previous which is projected to grow to USD 2.00 billion in
concessions on capital imports quarter but still remains lower than the 2016. The industry manufactures about 5,600 800
regional average of 53.1. brands of medicines in different dosage forms.
and remittance of royalty,
technical know-how and technical y There are 257 registered companies in
700
assistance fees. *BMI - Business Monitor International Bangladesh, 194 of which are in operation.
y This industry caters to 97% of domestic
demand. The domestic retail market is growing 600
at 24.63% per year.
y Bangladesh is also going to establish an API 500
park where 40 API industries will be able to 2007 2008 2009 2010 2011 2012 2013 2014
operate.
Figure 1: Pharmaceuticals Market Size (in USD million)
y Pharmaceuticals is one of the sectors
where Bangladesh is ourishing. Pharmaceutical Exports
y The WTO TRIPS agreement permits 73.72 Due to recent development in this sector, the
67.42 country is exporting medicines to global market
Bangladesh to reverse-engineer patented including European countries. At present
generics till 2021 to sell locally and export 56.62 Bangladesh is exporting to more than 83 different
51.68
to markets around the world. 46.79
countries of the world. Bangladesh's overall export
41.93 earnings from pharmaceuticals reached USD 51.7
40.21
y This has led to the development of a strong 32.68
million for the calendar year 2011, recording a 10.5%
manufacturing base, technical know-how 30.39 growth over the previous year.
and a supportive, liberal regulatory regime. Pharmaceutical export from Bangladesh has been
recording 25.5% growth annually over the last
y Apart from generic markets, Bangladesh is seven years. Most of the top companies in
currently exporting to regulated markets Bangladesh have already received GMP (Good
Manufacturing Practice) clearance from a number
of US and the European Union. 2006 2007 2008 2009 2010 2011 2012 2013 2014 of countries, including Turkey, Yemen, Kenya,
Figure 2: Pharmaceuticals Exports and growth (in USD million) Congo, Uganda, Sudan, Ethiopia, etc.