GOVERNMENT SUPPORT MEASURES FOR API MANUFACTURERS IN RUSSIA AND ABROAD

215 Volume 5, Issue 10: Special Issue (EJAR) ISSN: 2181-2020 MPHAPP THE 6TH INTERNATIONAL SCIENTIFIC AND PRACTICAL CONFERENCE “MODERN PHARMACEUTICS: ACTUAL PROBLEMS AND PROSPECTS” TASHKENT, OCTOBER 17, 2025 in-academy.uz GOVERNMENT SUPPORT MEASURES FOR API MANUFACTURERS IN RUSSIA AND ABROAD Smirnov A.S. Saint Petersburg State University of Chemistry and Pharmacy, Saint Petersburg, Russian Federation e-mail: [email protected] https://doi.org/10.5281/zenodo.17332962 Relevance: the strategic importance of the development of the active pharmaceutical substances (API) market for the sustainability of Russian healthcare and reducing import dependence in the context of global economic and geopolitical challenges. High technological and economic barriers to API production require effective government support and innovation measures. An analysis of the domestic market and the foreign experience of leading countries will allow us to identify successful incentive models, increase the competitiveness of domestic manufacturers and ensure the long-term development of the pharmaceutical industry in Russia. Purpose of the study: to conduct a comprehensive analysis of the active pharmaceutical substances (API) market in Russia for the period 2014-2024, identify key trends, problems and challenges of production, as well as evaluate the effectiveness of government support measures. In addition, the research is aimed at studying and comparing foreign experience in stimulating the industry in leading countries of the world in order to identify successful development models that can be adapted to increase the competitiveness and sustainability of the Russian pharmaceutical sector. Materials and methods: pharmaceutical market analysis data, Rosstat statistics, reports from the Ministry of Industry and Trade, and analytical data from research companies DSM and RNC. Comparative analysis methods were applied, which made it possible to compare national strategies according to key criteria: the volume of investments, the number of projects supported, the degree of localization of production and the pace of industry growth. Results: since 2014, the Russian industry has faced unprecedented sanctions pressure and a ban on the import of medicines and APIs, as well as the flight of foreign manufacturers from the market, which has caused short-term shortages of vital and essential medicines (VED), which has been particularly acute since 2022. The introduction of GMP requirements led to the closure of some production facilities and a decrease in the share of domestic substances to 16% in 2019. At the same time, the economy is showing GDP growth, pointing to the potential of the industrial complex. An analysis of the international experience of 2022-2025 has shown that targeted government support measures — subsidies, tax incentives, direct financing and infrastructure development — significantly stimulate the production and export of APIs, reducing dependence on imports. Successful cases from India, the USA, France, Germany and South Korea allow us to develop recommendations for the effective development and strengthening of the Russian pharmaceutical sector. The presented data indicate that the effectiveness of measures depends on the structure of the industry, the level of coordination and the stability of financing. In countries with integrated support (India, France, Hungary), localization of production is accelerating, while in the USA and Germany the processes remain fragmented and require long-term support. Countries that are building up infrastructure and institutional mechanisms at the same time as financial incentives are demonstrating higher rates of expansion and utilization of production capacities. 216 Volume 5, Issue 10: Special Issue (EJAR) ISSN: 2181-2020 MPHAPP THE 6TH INTERNATIONAL SCIENTIFIC AND PRACTICAL CONFERENCE “MODERN PHARMACEUTICS: ACTUAL PROBLEMS AND PROSPECTS” TASHKENT, OCTOBER 17, 2025 in-academy.uz Conclusions: in order to ensure the sustainability and development of the Russian pharmaceutical industry, it is necessary to implement effective government support measures based on international experience, which will increase local production of APIs, reduce dependence on imports and ensure strategic security in the healthcare sector.