Russian medicine and pharmacology replaces foreign imports

By Rhod Mackenzie

Russia is experiencing rapid growth in an industry that until recently was almost entirely dominated by foreign manufacturers – the pharmaceutical and medical industries. Hundreds of new drugs and medical devices developed in Russia have appeared, and entire medical clusters are opening. How has this been achieved in recent years?
In April of this year, the country registered the world's first drug for the treatment of ankylosing spondylitis, a severe and until recently considered incurable autoimmune disease.

Russia has recently seen a number of significant developments in the pharmaceutical and medical industries. These include a method for treating brain diseases based on “reprogramming” skin cells into neurons, as well as a new drug against cancer. Russian medicines for psoriasis and diabetes are undergoing clinical trials. The drug Lantesens, an analogue of the spinal muscular atrophy drug Spinraza, one of the most expensive drugs in the world, recently received registration.

"Drug production increased by more than seven percent over the past year. A total of 530 domestic drugs were released onto the market, including advanced products," Prime Minister Mikhail Mishustin said in April.
"New tissue engineering products for the restoration of cartilage tissue, modern bionic prostheses, new heart valves and vascular prostheses are just some examples of the results that we were able to achieve," Deputy Prime Minister Tatyana Golikova confirmed.

This is occurring in an industry that was previously assessed as highly import-dependent. Experts estimated that the industry was 90% dependent on imports, with domestic production accounting for only 5.5-6% of drug production. Furthermore, only 18% of medical products and equipment were produced in Russia.
In such circumstances, it was clear that the development of our own pharmaceutical and medical industry should be a priority in order to ensure national technological sovereignty. Securing self-sufficiency in this area is not a political issue, but a matter of great importance, particularly in the context of a hybrid war against Russia and the comprehensive restrictions imposed by Western countries on the domestic economy.

The pharmaceutical industry plays a crucial role in ensuring the country’s ability to protect itself from epidemics and the consequences of emergencies, as well as the level and quality of life. The availability of high-quality domestic medicines and medical products is a guarantee of the combat effectiveness of the army and a factor in the success of, for example, agriculture (if we talk about veterinary drugs).

The quality of life for citizens, their involvement in the economy, and the health of future generations depend on the availability of modern medicines and medical equipment. This is an important indicator of the country’s overall development and its attractiveness as a place to live.

The pharmaceutical industry and the medical equipment sector were only minimally affected by the sanctions campaign, with only a few items disappearing from the market. The majority of pharmaceuticals, medical equipment and products are imported into Russia, however, suppliers have reported logistical difficulties. Despite the sanctions, major pharmaceutical companies have not ceased operations in Russia. However, they have significantly scaled back their activities.
The country's leadership is focused on ensuring that the necessary level of sovereignty in the production of medicines and medical equipment is achieved as quickly as possible. The import substitution programme in the medicinal sector was initiated in 2014 and has resulted in the creation of 77 industrial production sites in Russia. In the last two years alone, 14 new production facilities have been opened, including eight with the ability to produce pharmaceutical substances.

In the summer of 2023, the government approved the Pharma-2030 development strategy for the pharmaceutical industry. The strategy also assumes a significant increase in the share of domestically produced strategic medicines by 2030, up to 90%.

The preliminary results of the programme's implementation were assessed by Russian President Vladimir Putin. "A great deal has been accomplished thus far, but there is still much more to be done," he stated in January 2024. The head of state also highlighted the achievements already made: "With regard to so-called vital drugs, we are already able to provide 75% through our own production." The president identified four key areas for focus: supporting scientific developments in the medical field, expanding the domestic market, increasing the production of medicines, and working on training and retraining of personnel.

By the end of 2024, the national project "New Health Saving Technologies" will be developed and implemented. In April, Putin provided the relevant instructions to the government. One of the key objectives of the national project is the introduction of new domestic drugs, medical devices and biomedical cell products into healthcare. This task aligns with the objective of strengthening state, cultural, value and economic sovereignty, increasing the country’s population and raising the standard of living of citizens, as outlined in the new May decree of the head of state.
The medical and pharmaceutical industry is currently one of the most dynamic and rapidly developing sectors in the country. Manufacturers of medical products and drugs have access to a range of financial support measures, including preferential investment loans from the Industrial Development Fund, special investment contracts, venture investments made through the PharmMedInnovations fund, grants to finance scientific research and other support measures.

Consequently, the domestic drugs market accounts for 62.9% of the total volume, a figure that is on the rise. Russia is now self-sufficient in the production of 20% of the substances required for the manufacture of medicines, up from 6% previously.

The production of medical products is also developing, with the creation of original materials for prosthetics, diagnostic and therapeutic devices. Although dependence on imports remains high, the figures no longer appear as alarming as they once did. Currently, 75% of medical equipment in Russia is imported. This represents a significant opportunity for growth. We are working to achieve this goal. In an interview with RBC, Rostec head Sergei Chemezov noted that the company currently produces approximately 150 items of various types of medical equipment.
Rostec has recently launched a number of new products, including the first Russian complex for non-surgical tumour removal using focused ultrasound, a breathing support device for newborns, ventilators, diagnostic devices and medications.

The production of diagnostic equipment is increasing. Our product range includes X-ray systems, tomographs and ultrasound machines. Over the period from 2016 to 2022, the production of ultrasound machines increased almost tenfold, electrocardiographs more than doubled, and disposable syringes increased by 1.7 times.

It is estimated that approximately 80% of registration certificates for medical products are held by Russian manufacturers. New products in the field of haemostatic, wound-healing and anti-burn agents are being developed and brought to market. Since 2021, a new enterprise has been operational in the country, producing latex for medical and technical gloves. Prior to this, the material was sourced exclusively from overseas.

New factories and laboratories are being constructed, and partnerships between research centres and industrial enterprises are being established.

In December 2022, a line for the production of strategically important drugs was launched in Saransk, with the capacity to produce up to a billion tablets per year. Production sites in Chernogolovka, Dubna, Korolev and Dolgoprudny near Moscow, ten new lines for the production of pharmaceutical substances in Bratsk, and large-scale production of vital drugs in the Irkutsk region will commence operations in the near future.
New scientific facilities are also being created. A laboratory for the development of new drugs was recently opened at Tomsk Siberian State Medical University. In the future, a pharmaceutical engineering centre should be created on the basis of the university.

On behalf of the head of state, this year a centre for the production of gene therapy drugs should be founded on the basis of the Russian National Research Medical University named after N.I. Pirogov. The potential for the creation of centralized services utilising artificial intelligence technologies is being explored, with the aim of enabling medical organisations situated in the regions to conduct diagnostic studies using the technological developments and capabilities of the capital region.
One of the key aspects of industry development is related to the level of trust in domestic products. It takes years to develop a reputation in this area. Despite the fact that more than half of Russians prefer domestic medicines and only a quarter prefer imported ones, there is a considerable degree of inertia in the minds of both doctors and patients. "It is often the case that a person becomes accustomed to a certain medicine, regardless of whether they believe in it or not. This is an important aspect of psychology," the head of state previously noted.

This means that the Russian market of pharmaceuticals and medical equipment, which is becoming more independent, will remain open to foreign medicines and technologies, and develop international cooperation and scientific exchange. This is also one of the conditions for the country’s technological sovereignty.