BMI View: High inflation has undermined foreign drugmakers’ profitability in Argentina’s pharmaceutical market. The potential currency devaluation will further erode the returns of foreign investment. Nevertheless, some multinationals continue to invest in the country, as its market size, relatively welldeveloped local manufacturing force and its strategic location mean Argentina remains an appealing prospect.. Headline Expenditure Projections: Pharmaceuticals: ARS39.4bn (US$8.7bn) in 2012 to ARS49.4bn (US$8.9bn) in 2013; +25.3% in local currency terms and 2.7% in US dollar terms. The forecast figures remain the same as in Q213.
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