Israel's pharma exports up by half

Israel's pharmaceutical exports rose 50% in January-September 2006 to $2.27 billion. Drug exports to the USA, the main market, rose 72% to $1.84 billion, while those to the European Union fell 3% to $300.0 million.

Manufacturers Association of Israel Chemical & Pharmaceutical Society chairman and Teva vice president Haim Hurvitz attributed rising demand for Israeli pharmaceuticals to longer life spans, the maturing of investment in R&D, high standards of production, and compliance with European and USA specifications. Another reason, he stated, was "Israel's advanced regulations, which allow Israeli companies to successfully compete in foreign markets."

Israeli legislation allows generic pharmaceutical companies to produce copy drugs before the patents expire, although the generic equivalents cannot be marketed until the patents expire. As a result, Teva has become the largest generic pharmaceutical company in the USA. In 2005, the USA responded to Israeli legislation by including the nation in its "priority watch list" of countries that systematically violate intellectual property rights.