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CONSUMER HEALTH IN PERU

Euromonitor International
May 2015

CONSUMER HEALTH IN PERU

LIST OF CONTENTS AND TABLES


Executive Summary ..................................................................................................................... 1
Major Advertising Campaigns Not Run During 2014 ................................................................ 1
National Production Is Declining ............................................................................................... 1
Pharmacists Recommendation Is the Most Important Factor in Making Decision on OTC ...... 1
Sales by Units Are Still the Most Common Presentation in Tablets and Capsules ................... 1
Ethnic Products Are Gaining Space in Herbal/traditional .......................................................... 1
Key Trends and Developments .................................................................................................... 1
Major Advertising Campaigns Are Not Held During 2014 ......................................................... 2
National Production Is Declining ............................................................................................... 2
Pharmacists Recommendation Is the Most Important Factor in Making Decision on OTC ...... 2
Market Indicators .......................................................................................................................... 3
Table 1
Table 2

Consumer Expenditure on Health Goods and Medical Services: Value


2009-2014 .................................................................................................... 3
Life Expectancy at Birth 2009-2014 ............................................................. 3

Market Data .................................................................................................................................. 3


Table 3
Table 4
Table 5
Table 6
Table 7
Table 8
Table 9
Table 10
Table 11

Sales of Consumer Health by Category: Value 2009-2014 .......................... 3


Sales of Consumer Health by Category: % Value Growth 2009-2014 ......... 4
NBO Company Shares of Consumer Health: % Value 2010-2014 ............... 4
LBN Brand Shares of Consumer Health: % Value 2011-2014 ..................... 5
Penetration of Private Label in Consumer Health by Category: %
Value 2009-2014 .......................................................................................... 6
Distribution of Consumer Health by Format: % Value 2009-2014 ................ 6
Distribution of Consumer Health by Format and Category: % Value
2014 ............................................................................................................. 7
Forecast Sales of Consumer Health by Category: Value 2014-2019 ........... 9
Forecast Sales of Consumer Health by Category: % Value Growth
2014-2019 .................................................................................................... 9

Appendix .................................................................................................................................... 10
OTC Registration and Classification ....................................................................................... 10
Vitamins and Dietary Supplements Registration and Classification ........................................ 10
Self-medication/self-care and Preventive Medicine ................................................................ 11
Switches ................................................................................................................................. 11
Summary 1

OTC: Switches 2011-2013 ......................................................................... 11

Definitions................................................................................................................................... 12
Sources ...................................................................................................................................... 13
Summary 2

Research Sources ...................................................................................... 13

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CONSUMER HEALTH IN PERU

CONSUMER HEALTH IN PERU


EXECUTIVE SUMMARY
Major Advertising Campaigns Not Run During 2014
In 2014, most companies decided to not run any advertising campaigns using mass media
such as television, radio or billboards, except only for some analgesics or cold and cough
medicines manufactured by large laboratories. The main reason for this was the reduction on
GDP growth that limited consumption capacity affecting all categories, where growth rates were
positive but not as expected as in the previous edition.

National Production Is Declining


The slowdown in demand and state regulations are the main factors affecting the drop in the
production of pharmaceutical products during 2014. However sales through retail channels
increased and imported products gained territory, but exports diminished due to stricter
regulations in foreign markets, and also sales to public entities decreased.

Pharmacists Recommendation Is the Most Important Factor in Making


Decision on OTC
Consumers usually visit a pharmacy due to necessity or illness symptoms and then ask the
clerk for recommendations; price is among the most important factors in making the decision
process. Some companies are taking advantage of this, training pharmacy personnel and also
posting banners or POP material to help clerks to explain product benefits to customers.

Sales by Units Are Still the Most Common Presentation in Tablets and
Capsules
A large percentage of Peruvians work in the informal sector, receiving daily incomes and
making it difficult for them to acquire full treatment at once; preferring to buy the products that
they need day by day. This applied to OTC, vitamins and mineral supplements, as well as to
weight management. There are large packages with 100 pills in attractive colours displayed in
pharmacies and are delivered to customers by units, cutting the blisters.

Ethnic Products Are Gaining Space in Herbal/traditional


Peruvians each year are becoming more aware of the importance of using natural products,
following the world trend, and believing that changing ones lifestyle for a healthier one leads to
the need to buy supplements. National products like maca, cat's claw, artichoke and magnesium
are preferred over imported or combined products but it is common for these products to be sold
without health registration or proper conditions to assure safety, being sold in popular markets
or even by sorcerers or shamans. There are also recognised brands that meet all sanitary and
health conditions, being distributed in chemists/pharmacies.

KEY TRENDS AND DEVELOPMENTS

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CONSUMER HEALTH IN PERU

Major Advertising Campaigns Are Not Held During 2014


During 2014, rapid growth in diverse consumer health categories stopped as a consequence
of GDPs small increase, considered by the Peruvian population as stagnation, and also
because the middle class is not expanding any more. In 2014, growth in OTC and other
categories was lower than in previous years. While the overall size remained small; most
companies decided not to invest in massive advertising campaigns. Advertising and strong
discount policy remained common for pharmacy chains, which continued to position themselves
against small and traditional pharmacies.
Instead, pharmaceuticals and other producers conducted promotional campaigns based on
information from pharmacists or clerks, since their recommendation to customers are important.
These campaigns also included POP material distribution as banners or flyers. The
strengthening of the distribution network was also consistent in recent years reaching more
consumers.
Outlook
GDP growth for 2015 is expected to be 3.5%, after incrementing around 3% in 2014. Although
it is one of the fastest growing countries in Latin America, within Peru this rate is considered low,
as it is compared with the higher rates up to 6% which were obtained for over 10 years. At the
same time, consumers have more options to choose from when they enter the pharmacy;
therefore promotional campaigns will continue to focus on information at point-of-sale and not
on large advertising which is very expensive. For these reasons, total consumer health is
expected to increment below 7% in 2015.

National Production Is Declining


During 2014, Peruvian production of medicines, both OTC and Rx, decreased by 5.7%, while
use of installed capacity was only 33%, showing the large infrastructure existing in the country.
There are different reasons to explain this decrease; the diminishment in national hospital
purchases, followed by larger imports with value incrementing by 18% through 2014, although
imported products tend to have higher prices than national ones.
Pharmacists National Association (ADIFAN) claimed to the government during past years for
import policies that allowed imported medicines or other health products to enter the national
market without paying tariffs; while other countries in the region (Latin America) carry high costs
for imports, limiting Peruvian exports. Therefore at the same time, the national market faced
small demand in growth, while more imported products reached the drugstores and exports
have strong barriers; directly affecting national production.
Outlook
National production is expected to remain the same or decrease at low rates during the
forecast period. Local regulations do not include taxes and tariffs for imported medicines, so
many consumers or even drugstore chains will continue to prefer imported products over
national ones, since import products can provide larger margins or are associated to higher
quality.

Pharmacists Recommendation Is the Most Important Factor in Making


Decision on OTC
Self-medication is a common practice in Peru, where low and middle-income consumers do
not consult a doctor or go to a hospital until they have first tried unsuccessfully to treat their
conditions themselves. When Peruvians have symptoms of any disease, the first thing they do is
go to the nearest pharmacy or the one their trust and consult a pharmacist. Usually they are

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CONSUMER HEALTH IN PERU

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called Doctor and provide advice, selling recommended drugs. It is important to mention that
consumers usually look for fast solutions and do not have the patience to complete treatments
or they do not have the money to buy it, acquiring the pills or tablets on a day-to-day basis.
With the presence of large pharmacy chains, the practice of consulting pharmacists did not
diminish, when even clerks felt encouraged to give their views and recommendations. The
traditional concept of pharmacy is changing in Peru, being substituted for large retail chains. By
2013, Peru had around 22,000 pharmacies while in 1998 there were 11,314, where over 60%
belonged to chains such as Inka Farma, Boticas Salud, Boticas Arcangel and Medifarma.
Outlook
The Peruvian government held campaigns to avoid self-medication as well as promoting the
shopping in recognised pharmacies to avoid illegal or fraudulent products. However, in the next
years no changes are expected for this trend, since access to health centres is very limited for
those low and middle-income consumers, especially for those who work in informal sectors
which accounts for over 60%.

MARKET INDICATORS
Table 1

Consumer Expenditure on Health Goods and Medical Services: Value 20092014

PEN million

Pharmaceuticals,
medical appliances/
equipment
Outpatient services
Hospital services
Total
Source:

2009

2010

2011

2012

2013

2014

10,853.9

12,999.5

14,610.8

16,489.2

18,281.3

20,149.5

7,114.2
1,781.3
19,749.4

8,288.9
2,107.3
23,395.7

9,072.8
2,341.0
26,024.7

9,985.6
2,613.5
29,088.3

10,817.0
2,868.9
31,967.2

11,663.9
3,132.9
34,946.3

Euromonitor International from official statistics, trade associations, trade interviews

Table 2

Life Expectancy at Birth 2009-2014

years

Males
Females
Source:

2009

2010

2011

2012

2013

2014

71.0
76.4

71.3
76.7

71.6
77.0

71.9
77.3

72.2
77.6

72.5
77.9

Euromonitor International from official statistics

MARKET DATA
Table 3

Sales of Consumer Health by Category: Value 2009-2014

PEN million

OTC
Sports Nutrition

Euromonitor International

2009

2010

2011

2012

2013

2014

388.5
24.7

474.6
33.7

635.9
47.5

848.4
61.1

1,040.3
80.7

1,157.0
82.8

CONSUMER HEALTH IN PERU

Vitamins and Dietary


Supplements
Weight Management
Herbal/Traditional
Products
Allergy Care
Paediatric OTC Healthcare
Consumer Health
Source:
Note 1:
Note 2:

Note 3:

Passport

426.7

477.6

617.7

694.2

786.6

855.8

204.8
33.4

241.9
36.9

261.2
42.2

285.3
47.4

320.8
55.7

359.6
60.0

14.2
44.8
1,045.0

15.0
61.3
1,228.1

17.3
90.6
1,562.7

20.2
127.8
1,889.3

24.2
165.7
2,228.8

25.7
185.7
2,455.5

Euromonitor International from official statistics, trade associations, trade press, company research,
store checks, trade interviews, trade sources
Consumer Health total is the sum of OTC, Sports Nutrition, Vitamins and Dietary Supplements, Weight
Management, and the subcategories of Herbal Medicinal Teas and Herbal Smoking Cessation Aids.
Sum of categories is greater than the market size because allergy care is a duplicate of categories found
in cough, cold and allergy remedies, dermatologicals and eye care; paediatric OTC healthcare is an
aggregate of paediatric categories in OTC and vitamins and dietary supplements; and herbal/traditional
products is an aggregate of herbal/traditional categories in OTC and vitamins and dietary supplements,
except herbal/traditional medicinal teas and herbal/traditional smoking cessation aids.
2014 data is provisional and based on part-year estimates.

Table 4

Sales of Consumer Health by Category: % Value Growth 2009-2014

% current value growth

OTC
Sports Nutrition
Vitamins and Dietary Supplements
Weight Management
Herbal/Traditional Products
Allergy Care
Paediatric OTC Healthcare
Consumer Health
Source:
Note 1:
Note 2:

Note 3:

2013/14

2009-14 CAGR

2009/14 Total

11.2
2.6
8.8
12.1
7.6
6.1
12.1
10.2

24.4
27.3
14.9
11.9
12.4
12.6
32.9
18.6

197.8
234.9
100.5
75.6
79.4
80.9
314.6
135.0

Euromonitor International from official statistics, trade associations, trade press, company research,
store checks, trade interviews, trade sources
Consumer Health total is the sum of OTC, Sports Nutrition, Vitamins and Dietary Supplements, Weight
Management, and the subcategories of Herbal Medicinal Teas and Herbal Smoking Cessation Aids.
Sum of categories is greater than the market size because allergy care is a duplicate of categories found
in cough, cold and allergy remedies, dermatologicals and eye care; paediatric OTC healthcare is an
aggregate of paediatric categories in OTC and vitamins and dietary supplements; and herbal/traditional
products is an aggregate of herbal/traditional categories in OTC and vitamins and dietary supplements,
except herbal/traditional medicinal teas and herbal/traditional smoking cessation aids.
2014 data is provisional and based on part-year estimates.

Table 5

NBO Company Shares of Consumer Health: % Value 2010-2014

% retail value rsp


Company
Herbalife Per SRL
Bayer SA
Omnilife Per SAC
Boehringer Ingelheim
Per SAC
Medifarma SA
GlaxoSmithKline Per SA
Novartis Biosciences
Per SA
Johnson & Johnson del
Per SA
Kraft Foods Per SA

Euromonitor International

2010

2011

2012

2013

2014

12.8
8.3
11.3
5.7

12.0
9.0
10.4
5.9

11.3
9.2
9.7
5.7

11.4
9.6
9.2
5.7

11.8
9.5
9.1
5.9

4.0
2.8
3.5

4.4
3.1
3.3

4.9
3.8
3.3

5.1
3.7
3.1

5.4
3.8
3.0

1.4

1.7

2.1

2.3

2.5

4.0

3.3

2.7

2.5

2.4

CONSUMER HEALTH IN PERU

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PGT Healthcare
Laboratorios Wyeth SA
ABL Pharma Per SAC
Droguera La Victoria SA
Sanimex SAC
Farmindustria SA
Pfizer SA
Arion International SRL
Unimed del Per SA
Bristol-Myers Squibb
Per SA
Laboratorios Kaita del
Per SAC
Genfar Per SA
Hesil
Corporacin Medco SAC
Laboratorios Garden
House SA
Merck Peruana SA
Hersil SA Laboratorios
Industriales
Farmacuticos
Vitamins Nutri Sport SAC
Abbott Laboratorios SA
Laboratorios Bag del
Per SA
Maver Peru SAC
Ivax Per SA
Procter & Gamble Per SRL
Generics
Private Label
Others
Total
Source:

1.9
1.2
1.5
1.1
1.0
0.6
1.3
1.2
0.8

1.9
1.3
1.6
1.4
1.0
0.8
1.3
1.2
0.9

1.7
1.8
1.6
1.6
1.4
1.1
1.0
1.2
1.1
0.9

2.0
1.8
1.8
1.7
1.5
1.1
1.1
1.2
1.0
0.9

2.1
1.8
1.8
1.6
1.3
1.2
1.2
1.1
0.9
0.9

1.3

1.1

1.0

0.9

0.8

1.0
0.4
0.8
0.4

0.9
0.5
0.8
0.5

0.9
0.6
0.8
0.6

0.9
0.7
0.8
0.6

0.8
0.8
0.7
0.6

0.8
0.1

0.7
0.2

0.6
0.3

0.5
0.4

0.5
0.4

0.3
0.4
0.6

0.3
0.4
0.5

0.4
0.4
0.4

0.4
0.4
0.4

0.4
0.4
0.3

0.2
0.9
0.7
2.8
0.7
24.4
100.0

0.2
0.9
0.5
3.1
0.8
23.9
100.0

0.3
3.9
1.0
23.0
100.0

0.3
4.4
1.1
21.5
100.0

0.3
5.0
1.2
20.1
100.0

Euromonitor International from official statistics, trade associations, trade press, company research,
store checks, trade interviews, trade sources

Table 6

LBN Brand Shares of Consumer Health: % Value 2011-2014

% retail value rsp


Brand
Omnilife
Herbalife
Pharmaton
Herbalife T
Concentrado de
Hierbas
Panadol
Redoxon
Dolomax
Centrum
Apronax
Doloflam
Halls
GNC
Voltaren

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Company

2011

2012

2013

2014

Omnilife Per SAC


Herbalife Per SRL
Boehringer Ingelheim
Per SAC
Herbalife Per SRL

9.7
9.3
5.6

8.8
8.4
5.3

8.2
8.2
5.2

8.2
8.1
5.4

2.7

2.8

3.2

3.7

GlaxoSmithKline Per SA
Bayer SA
Medifarma SA
Laboratorios Wyeth SA
Bayer SA
Johnson & Johnson del
Per SA
Kraft Foods Per SA
Droguera La Victoria SA
Novartis Biosciences
Per SA

3.0
3.8
1.3
1.9
0.7
1.2

3.6
3.5
1.6
1.8
1.2
1.5

3.6
3.4
1.8
1.8
1.7
1.6

3.7
3.4
2.1
1.8
1.8
1.8

2.1
1.6
1.4

1.7
1.5
1.3

1.6
1.6
1.2

1.6
1.5
1.1

CONSUMER HEALTH IN PERU

Berocca
Supradyn
Hipogls
Omnilife Power Maker
Mentholatum
Clorets
Excedrin
Diclofenaco
Doloral
Vitamin E
Sal de Andrews
Ciruelax
Kitadol 500mg
Gold Standard 100%
Whey
Nistagls
Vitamin B
Artren
Vitamin E
Vick
Generics
Private label
Others
Total
Source:

Passport

Bayer SA
Bayer SA
ABL Pharma Per SAC
Omnilife Per SAC
Medifarma SA
Kraft Foods Per SA
Novartis Biosciences
Per SA
Genfar Per SA
Hesil
PGT Healthcare
Medifarma SA
Laboratorios Garden
House SA
PGT Healthcare
Sanimex SAC

1.2
1.3
0.6
0.7
1.3
1.2
0.8

1.1
1.2
0.8
0.9
1.1
1.0
1.0

1.1
1.1
0.9
1.0
1.0
0.9
0.9

1.1
1.1
1.0
1.0
1.0
0.9
0.9

0.9
0.5
0.5
0.5

0.9
0.6
0.8
0.6
0.6

0.9
0.7
0.8
0.6
0.6

0.8
0.8
0.7
0.6
0.6

0.6

0.6

0.5
0.7

0.6
0.6

ABL Pharma Per SAC


Bristol-Myers Squibb
Per SA
Merck Peruana SA
Ivax Per SA
Procter & Gamble Per SRL

0.4
0.6

0.5
0.6

0.5
0.5

0.6
0.5

0.6
0.9
0.5
3.1
0.8
38.5
100.0

0.6
3.9
1.0
39.2
100.0

0.5
4.4
1.1
38.0
100.0

0.5
5.0
1.2
36.3
100.0

Private Label

Euromonitor International from official statistics, trade associations, trade press, company research,
store checks, trade interviews, trade sources

Table 7

Penetration of Private Label in Consumer Health by Category: % Value 20092014

% retail value rsp

Allergy Care
Consumer Health
OTC
Paediatric OTC Healthcare

2009

2010

2011

2012

2013

2014

3.2
0.6
1.7
0.4

3.2
0.7
1.8
0.3

3.0
0.8
1.9
0.2

3.0
1.0
2.2
0.2

2.6
1.1
2.4
0.2

2.5
1.2
2.5
0.1

Source:

Euromonitor International from official statistics, trade associations, trade press, company research,
store checks, trade interviews, trade sources

Table 8

Distribution of Consumer Health by Format: % Value 2009-2014

% retail value rsp

Store-Based Retailing
- Grocery Retailers
-- Modern Grocery
Retailers
--- Convenience Stores
--- Discounters
--- Forecourt Retailers
--- Hypermarkets
--- Supermarkets

Euromonitor International

2009

2010

2011

2012

2013

2014

70.6
4.4
4.4

70.8
4.4
4.4

73.0
4.6
4.6

75.2
4.8
4.8

76.3
5.0
5.0

76.2
5.0
5.0

0.0
0.0
0.0
1.6
2.8

0.0
0.0
0.0
1.6
2.8

0.0
0.0
0.0
1.7
2.9

0.0
0.0
0.0
1.7
3.1

0.0
0.0
0.0
1.8
3.2

0.0
0.0
0.0
1.8
3.2

CONSUMER HEALTH IN PERU

-- Traditional Grocery
Retailers
--- Food/drink/tobacco
specialists
--- Independent Small
Grocers
--- Other Grocery
Retailers
---- Healthfood shops
---- Other Other
Grocery Retailers
- Mixed Retailers
-- Department Stores
-- Mass Merchandisers
-- Variety Stores
-- Warehouse Clubs
- Non-Grocery Retailers
-- Health and Beauty
Specialist Retailers
--- Beauty Specialist
Retailers
--- Chemists/Pharmacies
--- Optical Goods Stores
--- Parapharmacies/
Drugstores
--- Other Healthcare
Specialist Retailers
-- Other Consumer
Health Non-Grocery
Retailers
Non-Store Retailing
- Vending
- Homeshopping
- Internet Retailing
- Direct Selling
Total
Source:

Passport

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0
0.0

0.0
0.0

0.0
0.0

0.0
0.0

0.0
0.0

0.0
0.0

0.0
0.0
0.0
0.0
0.0
66.2
65.0

0.0
0.0
0.0
0.0
0.0
66.3
64.9

0.0
0.0
0.0
0.0
0.0
68.3
66.8

0.0
0.0
0.0
0.0
0.0
70.4
68.8

0.0
0.0
0.0
0.0
0.0
71.3
69.5

0.0
0.0
0.0
0.0
0.0
71.2
69.5

0.0

0.0

0.0

0.0

0.0

0.0

9.5
0.0
51.1

9.0
0.0
51.6

9.0
0.0
53.4

9.3
0.0
55.3

9.3
0.0
56.0

9.3
0.0
56.0

4.4

4.3

4.3

4.2

4.1

4.2

1.2

1.4

1.5

1.6

1.8

1.7

29.4
0.0
2.2
0.0
27.2
100.0

29.2
0.0
2.2
0.0
27.1
100.0

27.0
0.0
2.3
0.0
24.8
100.0

24.8
0.0
2.2
0.0
22.6
100.0

23.7
0.0
2.2
0.0
21.5
100.0

23.8
0.0
2.2
0.0
21.5
100.0

Euromonitor International from official statistics, trade associations, trade press, company research,
store checks, trade interviews, trade sources

Table 9

Distribution of Consumer Health by Format and Category: % Value 2014

% retail value rsp

Store-Based Retailing
- Grocery Retailers
-- Modern Grocery
Retailers
--- Convenience Stores
--- Discounters
--- Forecourt Retailers
--- Hypermarkets
--- Supermarkets
-- Traditional Grocery
Retailers
--- Food/drink/tobacco
specialists
--- Independent Small
Grocers

Euromonitor International

OTC

SN

VDS

WM

HTP

AC

99.3
7.1
7.1

99.9
1.6
1.6

69.1
4.4
4.4

13.6
0.7
0.7

95.4
11.0
11.0

99.4
7.6
7.6

0.0
0.0
0.0
2.3
4.9
0.0

0.0
0.0
0.0
0.0
1.6
0.0

0.0
0.0
0.0
2.1
2.3
0.0

0.0
0.0
0.0
0.0
0.7
0.0

0.0
0.0
0.0
6.4
4.6
0.0

0.0
0.0
0.0
3.0
4.6
0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

CONSUMER HEALTH IN PERU

--- Other Grocery


Retailers
---- Healthfood shops
---- Other Other
Grocery Retailers
- Mixed Retailers
-- Department Stores
-- Mass Merchandisers
-- Variety Stores
-- Warehouse Clubs
- Non-Grocery Retailers
-- Health and Beauty
Specialist Retailers
--- Beauty Specialist
Retailers
--- Chemists/Pharmacies
--- Optical Goods Stores
--- Parapharmacies/
Drugstores
--- Other Healthcare
Specialist Retailers
-- Other Consumer
Health Non-Grocery
Retailers
Non-Store Retailing
- Vending
- Homeshopping
- Internet Retailing
- Direct Selling
Total

Passport

0.0

0.0

0.0

0.0

0.0

0.0

0.0
0.0

0.0
0.0

0.0
0.0

0.0
0.0

0.0
0.0

0.0
0.0

0.0
0.0
0.0
0.0
0.0
92.1
92.1

0.0
0.0
0.0
0.0
0.0
98.3
48.8

0.0
0.0
0.0
0.0
0.0
64.8
64.8

0.0
0.0
0.0
0.0
0.0
12.9
12.9

0.0
0.0
0.0
0.0
0.0
84.4
84.4

0.0
0.0
0.0
0.0
0.0
91.8
91.8

0.0

0.0

0.0

0.0

0.0

0.0

13.1
0.1
77.7

2.4
0.0
39.5

8.7
0.0
49.0

0.4
0.0
6.7

11.4
1.0
69.6

15.9
0.0
75.1

1.4

6.8

7.1

5.9

2.3

0.8

0.0

49.5

0.0

0.0

0.0

0.0

0.7
0.0
0.7
0.0
0.0
100.0

0.1
0.0
0.1
0.0
0.0
100.0

30.9
0.0
5.4
0.0
25.5
100.0

86.4
0.0
0.0
0.0
86.4
100.0

4.6
0.0
1.3
0.0
3.3
100.0

0.6
0.0
0.6
0.0
0.0
100.0

POTC
Store-Based Retailing
- Grocery Retailers
-- Modern Grocery
Retailers
--- Convenience Stores
--- Discounters
--- Forecourt Retailers
--- Hypermarkets
--- Supermarkets
-- Traditional Grocery
Retailers
--- Food/drink/tobacco
specialists
--- Independent Small
Grocers
--- Other Grocery
Retailers
---- Healthfood shops
---- Other Other
Grocery Retailers
- Mixed Retailers
-- Department Stores
-- Mass Merchandisers
-- Variety Stores
-- Warehouse Clubs
- Non-Grocery Retailers
-- Health and Beauty
Specialist Retailers

Euromonitor International

98.9
6.8
6.8
0.0
0.0
0.0
1.8
5.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
92.2
92.2

CONSUMER HEALTH IN PERU

--- Beauty Specialist


Retailers
--- Chemists/Pharmacies
--- Optical Goods Stores
--- Parapharmacies/
Drugstores
--- Other Healthcare
Specialist Retailers
-- Other Consumer
Health Non-Grocery
Retailers
Non-Store Retailing
- Vending
- Homeshopping
- Internet Retailing
- Direct Selling
Total
Source:
Key:

Passport

0.0
14.2
0.0
76.5
1.5
0.0

1.1
0.0
0.7
0.0
0.4
100.0

Euromonitor International from official statistics, trade associations, trade press, company research,
store checks, trade interviews, trade sources
OTC = over the counter; SN = sports nutrition; VDS = vitamins and dietary supplements; WM = weight
management; HTP = herbal/traditional products; AC = Allergy Care; POTC = paediatric OTC healthcare

Table 10

Forecast Sales of Consumer Health by Category: Value 2014-2019

PEN million

OTC
Sports Nutrition
Vitamins and Dietary
Supplements
Weight Management
Herbal/Traditional
Products
Allergy Care
Paediatric OTC Healthcare
Consumer Health
Source:
Note 1:
Note 2:

Note 3:

Table 11

2014

2015

2016

2017

2018

2019

1,157.0
82.8
855.8

1,249.1
85.7
902.2

1,335.9
88.9
948.1

1,416.6
92.1
993.6

1,489.2
95.5
1,038.7

1,553.1
98.8
1,081.3

359.6
60.0

392.9
61.6

428.6
63.2

466.7
64.8

506.6
66.4

550.4
67.9

25.7
185.7
2,455.5

27.3
201.4
2,630.3

28.7
216.2
2,801.9

30.1
229.6
2,969.5

31.3
241.8
3,130.5

32.6
252.9
3,284.1

Euromonitor International from trade associations, trade press, company research, trade interviews,
trade sources
Consumer Health total is the sum of OTC, Sports Nutrition, Vitamins and Dietary Supplements, Weight
Management, and the subcategories of Herbal Medicinal Teas and Herbal Smoking Cessation Aids.
Sum of categories is greater than the market size because allergy care is a duplicate of categories found
in cough, cold and allergy remedies, dermatologicals and eye care; paediatric OTC healthcare is an
aggregate of paediatric categories in OTC and vitamins and dietary supplements; and herbal/traditional
products is an aggregate of herbal/traditional categories in OTC and vitamins and dietary supplements,
except herbal/traditional medicinal teas and herbal/traditional smoking cessation aids.
2014 data is provisional and based on part-year estimates.

Forecast Sales of Consumer Health by Category: % Value Growth 2014-2019

% constant value growth

OTC
Sports Nutrition
Vitamins and Dietary Supplements
Weight Management
Herbal/Traditional Products
Allergy Care

Euromonitor International

2014/2015

2014-19 CAGR

2014/19 TOTAL

4.3
3.5
4.1
8.7
2.3
4.0

6.1
3.6
4.8
8.9
2.5
4.9

34.2
19.3
26.4
53.1
13.3
26.9

CONSUMER HEALTH IN PERU

Paediatric OTC Healthcare


Consumer Health
Source:
Note 1:
Note 2:

Note 3:

Passport

4.6
4.9

6.4
6.0

Euromonitor International from trade associations, trade press, company research, trade interviews,
trade sources
Consumer Health total is the sum of OTC, Sports Nutrition, Vitamins and Dietary Supplements, Weight
Management, and the subcategories of Herbal Medicinal Teas and Herbal Smoking Cessation Aids.
Sum of categories is greater than the market size because allergy care is a duplicate of categories found
in cough, cold and allergy remedies, dermatologicals and eye care; paediatric OTC healthcare is an
aggregate of paediatric categories in OTC and vitamins and dietary supplements; and herbal/traditional
products is an aggregate of herbal/traditional categories in OTC and vitamins and dietary supplements,
except herbal/traditional medicinal teas and herbal/traditional smoking cessation aids.
2014 data is provisional and based on part-year estimates.

APPENDIX
OTC Registration and Classification
Current government policies are set under the supervision of DIGEMID. This organisation
belongs to the Peruvian Ministry of Health and periodically publishes a list of all medications
considered as OTC. In addition, it also issues the Sanitary Registry for all drugs and
pharmaceuticals sold in Peru, but its efficiency and efficacy are often questioned as flexible
control policies make it easy to find poor quality products from some laboratories of doubtful
origin.
Peru is one of the markets where it is easier to register any medicine without real proof of its
health benefits. Since 1992, the Sanitary Registry process was reformed, establishing a 30day period for DIGEMID to answer to any registry application. If after the 30-day period no
answer is issued by DIGEMID, the laboratory/company can consider the Sanitary Registry as
having been approved. In 1997, this period was cut to seven days, and Sanitary Registries
are granted for a period of five years, Sanitary Registrys owners can apply for its renewal 60
working days before its expiry date
A sanitary registry can be withdrawn or suspended at any time if the technical specifications
of the product changes or are not fulfilled. In addition, any sanitary registry will be cancelled if
the World Health Organisation determines that a medical product is insecure or ineffective.
Patents are the responsibility of INDECOPI. Current intellectual property rights comprise
several Andean decisions and the National Peruvian legislation. They also consider FTA,
especially with USA and UE, since more laboratories with patent requests are from these
countries. Patents are extended for a 20 years period.
All packages have to include information on ingredients, manufacturers and importer or
distributor in Peru. When it is a medication, it needs to have a list of adverse effects in
Spanish with other relevant information inside the package.

Vitamins and Dietary Supplements Registration and Classification


All vitamins and dietary supplements must follow the same registry process established for
OTC products because in Peru, pharmaceutical products are divided into three groups: brand
drugs, generics and diet and sweetener products, which also contain vitamins and dietary
supplements and homeopathic or natural products.
However, registration of dairy and food products containing vitamins must be made through
the Directorate of Environmental Health (Direccin General de Salud Ambiental - DIGESA), a
division of the Ministry of Health (MINSA).

Euromonitor International

36.2
33.7

10

CONSUMER HEALTH IN PERU

Passport

In Peru, vitamins are to be considered as drugs in the following cases: products containing
vitamin A in doses >10,000 IU/day, vitamin D in doses >800 IU/day, or products containing
manganese (Mn), phosphorous (P), chromium (Cr), selenium (Se), molybdenum (Mo) or zinc
(Zn) in doses exceeding NEANO1 and NMEAO2 maximum requirements. Also registered as
drugs are products containing amino acids, carbohydrates, lipids, vitamins or mineral
supplements. In all cases, rules are subject to current regulations concerning other OTC
products and pharmaceutical drugs.
Almost all vitamins and dietary supplements are presented in tablets and capsules, contained
in plastic jar packages, with labels including ingredients, doses, manufacturer and also
importer or distributor in case the product is manufactured in a foreign country.

Self-medication/self-care and Preventive Medicine


Self-medication is a very common practice in Peru, where people ask the pharmacists for
advice. This practice is even more common in provinces where budget restrictions do not
allow consumers to have access to medical care. Low and middle-income consumers, who
usually work in the informal sector, do not have access to health insurance, neither private nor
public. Therefore they turn to self-medication in order to reduce their total health care
expenditure and they rather take the advice of pharmacists, a friend or relatives. Furthermore,
some higher income consumers trust self-medication too, because waiting for a doctors
appointment can be time consuming, usually between two to three weeks. Most Peruvian
consumers do not perceive the risks involved in self-medication and generally self-prescribe
analgesics, cough, cold and allergy (hay fever) products as well as digestive medicines
without thinking better of it.
During 2014, there were no informative campaigns warning against self-medication or to raise
awareness of the possible harmful effects of doing so among the population. In the past
years, DIGEMID held educational campaigns throughout the country to avoid self-medication,
educating the low and middle-income population but with very low effects. This institution
gave warnings to society about the risk of self-medication through its web page but internet
access in Peru is still very limited. Main efforts are now addressed to check whether
pharmacies comply with the law and demand a doctors prescription before selling an Rx
drug.

Switches
During 2014, there were no switches amongst prescription (Rx) to OTC or BTC (pharmacy) to
OTC switches, or reverse. However, in 2013 the main switch was in emergency contraception
pill, which before June 2013 was sold only with prescription. Since this date, it is available for
all women in almost every pharmacy. There are laboratories brands as well as generics, as
shown in the next table.
Summary 1
Brand name

OTC: Switches 2011-2013


Manufacturer

Ingredient/dosage

Switch date

Levonorgestrel

Teva Per SA PGT


Healthcare?

Levonorgestrel

June 2013

Clanique

Tecnofarma SA

Levonorgestrel

June 2013

Postinor-2

Farmage SAC

Levonorgestrel

June 2013

Tibex

Farmindustria S.A.

Levonorgestrel

June 2013

Novanor

Novax EIRL

Levonorgestrel

June 2013

Euromonitor International

11

CONSUMER HEALTH IN PERU

Passport

Pregnor

Eske Corp SAC

Levonorgestrel

June 2013

Glanix

Infermed SAC

Levonorgestrel

June 2013

Source:

Euromonitor International from official statistics, trade press (Gestin, El Comercio), trade interviews

DEFINITIONS
Explanations of words and/or terminology used in this report are as follows:
Botica: A local drugstore specialising in the retailing of OTC products, nutritionals and
cosmetics and toiletries, similar to a pharmacy. However, a pharmacy must be owned by a
certified chemist/pharmacist. Based on Euromonitor International distribution channel
definitions, Boticas is classified under drugstores/parapharmacies since it is not necessarily
focused on selling prescription-bound medicines under the supervision of a pharmacist as its
core activity.
Camu Camu: Berries from this Amazonian tree are prized for their high vitamin C content.
Denominacin Comn Internacional: DCI (International Common Denomination).
Hercampuri: A plant originally from the Peruvian Andes that has several medicinal uses. It is
recommended for detoxifying the body and regulating the metabolism and it serves as a
natural diuretic recommended to lose weight. In addition, it is also believed to protect the
cardiovascular system. Hercampuri is commonly sold in the form of pills in stores specialising
in natural products but some people drink it as a hot infusion after boiling
IU: International Units.
Kiwicha: A fast growing plant with purple, red or gold coloured leaves and flowers that grows
in the highlands of Peru, Ecuador and Bolivia. There are approximately 1,200 kiwicha
varieties in the Andes. The grains of kiwicha are used as cereal and the flour obtained from
the grains is used in the elaboration of tortillas. Kiwicha has respected nutritional value due to
its high content of proteins. In addition, it also contains other beneficial elements such as
vitamin B, vitamin E, calcium, zinc, iron and potassium.
Maca: A native plant from the Peruvian and Bolivian Andes. It is traditionally grown at high
altitudes, between 4,000 and 5,000 metres. It grows well in cold weather and without much
care. Maca is traditionally used as an anti-stress aid and is believed to be a natural energy
booster that increases physical, mental and sexual vigour. Although it is consumed after
cooking the roots, it is currently being industrialised in the form of dietary supplements.
Noni: Fruit of the great morinda tree that derives from Tahititi and the population of different
islands in the South Pacific. Noni grows both in the forest and on the beaches. Noni has
multiple dark seeds and has a yellow colour initially, turning green when it is near to ripening.
It is characterised by its intense smell and bitter taste. This fruit possesses many useful
properties for health. Traditionally, it is used to boost the immune system and is believed to
drive the regeneration of cells. Noni is also used as a painkiller. In Peru, it is consumed
blended with other fruit to mitigate its bitter taste. Noni is also processed in the form of pills
that are sold by most stores specialising in natural products.
Quinoa: A native Andean plant known for its edible seeds that are high in protein, amino acids
and fibre. Traditionally, quinoa grains are toasted in order to produce flour. They can also be
cooked, added to soup, used in cereal or pasta and fermented to obtain beer or chicha.
Quinoa flour is primarily produced and marketed in Peru and Bolivia and is often used as a
substitute for wheat flour. Nutritious childrens foods are made throughout the Andean region
by mixing quinoa with corn, wheat, barley or potatoes.

Euromonitor International

12

CONSUMER HEALTH IN PERU

Passport

Sacha Inchi: A native Amazonian plant that produces seed pods known as the Inca Peanut
as it has been cultivated by indigenous cultures for hundreds of years. The oil from the seeds
contains one of the highest concentrations of omega-3 fatty acids yet discovered.
Sangre de grado: Amazon tree sap extract traditionally used to treat stomach ulcers.
Ua de gato: Cats claw in English, a plant, the bark of which stimulates and reinforces the
bodys defences. In addition, it has anti-inflammatory properties that help reduce the effects of
arthritis.
Yacn: A traditional tuber grown in the Peruvian Andes. Its main characteristic is that it
contains inulin an indigestible sugar that, although it provides a sweet taste when mixed
with other food, does not contain lots of calories - unlike sugar and other sweeteners. It is a
product especially suitable for those that suffer from diabetes as well as those that require a
low calorie diet for health reasons. Yacn also constitutes an important source of minerals,
such as calcium, phosphorus, zinc and vitamin C. Yacn is commercialised as jam as well as
in the form of pills as dietary supplements and is usually sold in stores specialising in natural
products.
DIGEMID: General Directorate of Medicines, Supplies and Drugs
INDECOPI: National Institute for the Defence of Competition and the Protection of Intellectual
Property
MINSA: Ministry of Health

SOURCES
Sources used during the research included the following:
Summary 2
Research Sources
Official Sources

DIGEMID
Indecopi (Instituto Nacional de Defensa de la
Propiedad Intelectual)
Ministerio de Salud de Per
Sierra Exportadora
SUNAT

Trade Associations

Adifan
Revista Packaging Latinoamericana

Trade Press

Agencia Andina de Noticias


Business Magazine
Correo Newspaper
CPN radio
Dia 1 El comercio
Dia Uno
Diario El Comercio
Diario El Peruano
Diario Expreso
Diario Gestin
Diario La Primera

Euromonitor International

13

CONSUMER HEALTH IN PERU

Passport

Diario La Republica
Diario Peru21
Diaro Correo
El Comercio
EPENSA
expreso
Gestin
La Repblica
Maximize - El Comercio
Peru Retail
Peru21
Revista K@iros
Revista Semana Econmica
Rpp noticias
Semana Economica
South American Business Information
Source:

Euromonitor International

Euromonitor International

14

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