Overview
Austria has one of the highest per capita expenditures on pharmaceuticals worldwide. In 2024, pharmaceutical sales are estimated to have reached $9.4 billion or just over $1,000 per capita – a still modest 15% of Austria’s total healthcare bill. Austria is also a significant producer of pharmaceuticals.
Total imports are estimated at over $15 billion in 2024, while exports are estimated to have reached over $18 billion as new production facilities have come online.
Table: Pharmaceutical Manufacturing and Market Size Overview
| 2021 | 2022 | 2023 | 2024 (est) |
Total Local Production (est) | 1,484 | 1,569 | 3,547 | 3,830 |
Total Exports | 13,548 | 14,833 | 17,830 | 18,756 |
Total Imports | 12,954 | 13,606 | 15,215 | 15,975 |
Imports from the US | 1,375 | 1,561 | 2,219 | 2,329 |
Total Market Size | 9,108 | 8,497 | 9,015 | 9,398 |
Units: USD million Exchange Rate 2023 1€ = $1.08 Sources: Pharmig.at Daten und Fakten 2022, FitchSolutions Pharmaceuticals and Healthcare Report Q2 2025, Statistik Austria, US Census Data Note: Some inputs for pharmaceutical production are also considered pharmaceuticals in import statistics, thus imports minus exports plus local production do not add up to the market size in this chart. | ||||
Austria’s largest import partners are Germany, Switzerland, Ireland, the U.S. and Hungary, which together account for over 70% of all imports. Germany, the United States and Belgium account for almost 50% of Austria’s pharmaceutical exports.
Market Drivers and Constraints
The most important factors influencing the Austrian pharmaceutical market are: 1) growing demand from an aging and sedentary population; nearly one quarter of Austrians will be over 65 in 2030; 2) close to 100% of the population is covered by social health insurance, which finances pharmaceutical needs with very low co-pay requirements or zero pay for low-income patients; 3) growing domestic production volumes, which create opportunities for producers of drug precursors, and 4) notable pricing constraints for reimbursement with Austria’s public insurance system. The push and pull of these forces both drive and restrain pharmaceutical sector growth in Austria.
Most large multinational pharmaceutical companies have a subsidiary in Austria, and some maintain R&D or manufacturing capacities. A presence in-country is generally needed to fully understand the market, successfully negotiate coverage and price agreements with Austrian payers, manage relationships with thought leaders and decision makers, and conduct sales.
Domestic Production
The most important domestic producers include multinational companies with global operations such as Boehringer Ingelheim, Novartis, Takeda, Pfizer, MSD (animal health) and Octapharma, as well as generics and contract producers such as Sandoz, ratiopharm, GL Pharma and genericon. A directory of life science companies active in Austria is listed in the Life Science Directory. We have seen domestic production expand in recent years as the Boehringer Ingelheim biopharmaceuticals plant in Vienna and the Novartis biosimilars plant in Schaftenau ramp up production and the Sandoz antibiotic facility (the only penicillin production site in Europe) in Tyrol reaches full capacity.
Leading Sub-sectors
Prescription drugs make up nearly 90% of all pharmaceuticals sales ($7.8 billion in 2023), and patented drugs dominate the prescription market with around 85% (out-patient) market share. Generics are experiencing slower growth rates in Austria than in most other OECD markets. This is largely an unintended consequence of the tightly managed reimbursement system, which demands a significant price reduction from both original and generic producers once the patent expires. Given the modest or non-existent price difference between branded and generic pharmaceuticals, there is little incentive to switch to generics. In addition, many physicians prefer familiar, patented names, and pharmacies are not allowed to substitute for generics at the point of sale. The most common diagnoses requiring prescription medications are high blood pressure, chronic cardiac insufficiency, heartburn/acid indigestion, depression, ADHD, and high cholesterol.
The over-the-counter (OTC) market is highly restrictive. Even simple pain relievers and most nutritional supplements are regulated and can only be purchased in licensed pharmacies. Prices for non-prescription medications are high due to the price controls in place on prescription medications (OTC is an opportunity for pharmacies to earn higher margins) and market growth is limited. The most frequently purchased over the counter treatments are cough and cold treatments, vitamins and supplements, pain relievers, and indigestion remedies.
Opportunities
- Pharmaceutical precursor substances for human and animal health
- Medication for cardiovascular conditions (high blood pressure, high cholesterol, cardiac insufficiency)
- Medication for cancer treatment, including breast, lung, prostate, colon, and pancreas
- Medication for coughs/colds, indigestion, pain relievers
- Vitamins/food supplements
- Psychopharmacological medications, all indications esp. depression and anxiety
Resources
- Statistik Austria (Austrian Statistics Office)
- LISA Austria (Austrian Life Sciences Cluster)
- Bundesministerium für Gesundheit (Austrian Federal Ministry for Health)
- Gesundheit Österreich GmbH (Austrian Federal Institute for Health)
- AGES Österreichische Agentur für Gesundheit und Ernährungssicherheit (Austrian Agency for Health and Food Safety)
- Dachverband der österreichischen Sozialversicherungsträger (Association of Austrian Social Insurance Carriers)
- PHARMIG (Austrian Association of Pharmaceutical Enterprises)
- Apothekerkammer (Austrian Pharmacists Association)
- FOPI (Association of Research-Based Pharmaceutical Companies in Austria)
- PHAGO (Association of Pharmaceutical Distributors)
- Generika Verband (Association of Austrian Generics Producers)
Information prepared by Healthcare Specialist Marta Haustein, marta.haustein@trade.gov