The clustering of life sciences companies in Switzerland started over 60 years ago when Switzerland managed to lure many foreign companies to the country. In our in-depth interview with Jaqueline Hess, we talked about why biotechs been choosing Switzerland for more than 60 years.
Numerous companies that came to Switzerland have remained in the country to this day, and many expats who originally relocated with their employer decided to stay even after employment ended. The attractivity of the Swiss market remains unchanged today. Switzerland’s unique blend of innovation, quality and strategic location offers a multitude of opportunities for pharma companies eyeing expansion. In this article, we explore five key reasons why Switzerland is a strategic choice for many businesses on the cusp of growth.
1. Strong economy
Switzerland’s economic and business environment is robust and conducive to growth. The pharmaceutical sector significantly contributes to the Swiss GDP, highlighting its economic importance. Resilience during global challenges, such as the COVID-19 pandemic, underscores the sector’s stability[1] as discussed in our latest blog post on the Swiss Pharma Market Report 2023 by Interpharma. Additionally, Switzerland’s favourable tax regime and the stable Swiss franc make it an attractive destination for foreign investment[2].
2. Supportive regulatory environment
Switzerland’s regulatory and legal framework fosters an environment ripe for innovation. The country is known for regulations that are supportive toward employers as well as a multilingual workforce that caters to global business needs.[3] The legal system upholds strong intellectual property rights, crucial for pharmaceutical companies.[4]
3. Innovation and quality
The healthcare system and research capabilities in Switzerland are ranked among the best globally.[5] The country’s high life expectancy and health spending reflect its robust healthcare system.[6] Switzerland’s forward-thinking approach in approving new medicinal products, including personalized medicines and treatments for rare diseases, makes it a leader in healthcare innovation.
4. Qualified people
In terms of workforce and talent pool, Switzerland stands out on the international stage. The country is home to a large pool of highly skilled professionals in the life sciences sector, backed by world-class universities and research institutions.3 This talent pool is further strengthened by Switzerland’s leading position in biotechnology patent applications, a testament to its commitment to continuous innovation and research.[7]
5. Top location
The country’s geographical and access advantages are unparalleled.[3] Nestled in the heart of Europe, Switzerland offers easy access to major European markets. Its efficient transport infrastructure and smooth operational processes with local authorities make it an ideal hub for distribution and logistics in the pharmaceutical industry.[8]
The overall attractiveness of the Swiss market cannot be overstated. The pharmaceutical industry’s significant contribution to the economy, coupled with a focus on overall health and wellbeing, indicates vast growth potential. High patient satisfaction levels in the healthcare system add to the appeal of the Swiss market for pharmaceutical companies.
Switzerland’s combination of stability, innovation and a forward-thinking approach in healthcare make it an ideal destination for expanding pharmaceutical companies. With its strategic location, robust economy, and fertile ground for growth in life sciences, Switzerland is poised to remain a global leader in the pharmaceutical industry.
Are you considering the Swiss market for your pharmaceutical expansion? Reach out to us for expert guidance and explore the many opportunities that Switzerland has to offer your business.
Sources
[1] BAK Economics & Interpharma - "Economic Importance of the Pharmaceutical Industry in 2020" (2021)
[2] NZZ - "The Swiss Franc as a Safe Haven Currency" (2023)
[3] World Economic Forum - "The Global Competitiveness Report 2020" (2020)
[5] Reader's Digest - "Why Switzerland Has the World’s Best Healthcare System" (2019)
[6] OECD Better Life Index - "Country Profile: Switzerland"
[7] Switzerland Global Enterprise - "Factsheet: Medtech in Switzerland 2022" (2022)
[8] U.S. Department of Commerce, International Trade Administration - "Switzerland Market Overview" (2022)