Arabian countries are awakening to the reality of industry and commerce based development. But not all of them at the same pace. A few of these countries are fast but the majority is slow. All of them have realized that they have to invest their oil income sensibly and productively to promote and attract various industries for surviving in the long term. And by all indications UAE is going to be the centre point of this emerging evolution in the Arab region as it has taken the lead in liberalizing the foreign investment policies first. One major sector which is going to be the engine of growth in this region is healthcare industry considering the importance being given to this sector by the government. The huge response the recently concluded Arab Health 2004 received in Dubai and this Emirate's plan to host a number of other healthcare exhibitions every year strongly indicates this resolve. Arab Health, sponsored by Dubai Healthcare City had 25 national pavilions including the first time participants like Brazil, Holland, Pakistan, Singapore, Sweden and Turkey. Indian Pavilion had 25 participants including top players like Ranbaxy, Cipla, Indoco Remedies and Ajanta. German presence was most dominating with as many as 200 companies taking part in three major pavilions. And 60 of them were Germany's finest hospitals and clinics. UK had next best representation with 120 finest healthcare providers followed by Italy with 70 companies.
The market for healthcare products and services in the Arab region is stated to be huge and comparable to that of any developed part of the world. According to an industry estimate, the healthcare market in the region should be around 74 billion dollars now. A large part of this market is constituted by drugs and pharmaceuticals and almost 90 percent of that is being regularly imported by these countries. Local manufacturing of pharmaceuticals is limited to a few companies in Dubai, Saudi Arabia and Egypt. Imports of drugs and pharmaceuticals from India are negligible to UAE and to other Arab countries. Most of these products are currently coming from the US and European companies. It is not that quality of Indian pharmaceuticals is anyway inferior to the US and European products. That is evident from the fact that 60 to 70 percent of India's export of Rs 12,000-crore worth of drugs and pharmaceuticals go to the US and European markets. The main hurdle in exporting to Arab market is the tough registration procedures followed by the health ministries of these governments which are strongly guided by the US and European consultants. Only a few products of top companies like Ranbaxy have been registered by UAE so far. Others are waiting. Some of the influential Indians based in Dubai like B.R.Shetty are doing their best to convince Arab governments about the high quality of Indian pharmaceuticals. That may not be enough. Indian government and pharma companies should launch a sustained campaign to erase the wrong impression created by certain vested interests amongst Arabs about the quality of Indian pharmaceuticals.