Romania's OTC drug market is set to maintain its over 17% growth rate within the next 5 years if the economic growth remains steady, believes Nicholas Hall, chairman of Nicholas Hall & Company, which conducts market surveys for the industry.

"Romania ranks fourth in terms of OTC market growth, after Venezuela, Turkey and Argentina. All the latter countries have strong economies, but Romania has the advantage of having recently become an EU member," stated Nicholas Hall in an interview with ZF.

Investments by foreign pharmaceutical companies, along with tight competition, were among the factors considerably boosting the market, he added.

The OTC drug market stands at around 4.6bn dollars in Central and Eastern Europe. In terms of value, the biggest market is Russia (1.4bn dollars), followed by Poland (1.2bn dollars). Romania ranks fifth with sales standing at 251.5m dollars.

"With the exception of Novartis and GSK, global OTC industry players do not have a strong presence here, but intend to strengthen their presence in Central and Eastern Europe, which includes Romania," said Hall.

Regarding regional expansion, the leading companies first look at Russia and Poland (because of their size), then the Czech Republic, followed by Romania and the Baltic states. However, because of its rapid growth rate, Romania is increasingly becoming a more visible location on global giants' maps.

Hall also believes the retail segment is highly developed in Romania. Another factor that could drive the market up is the possibility of OTC drugs being sold via supermarkets. This is allowed in 15 European states. "(...) For producers, such a move would be attractive in terms of volumes, but would bring disadvantages in terms of profit margins," said Hall.

Unlike prescription drugs, OTC drugs can be promoted on all channels, with the budgets earma