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Conversation highlights:
- SINDUSFARMA is the leading service-providing trade association for the Brazilian pharmaceutical industry, focusing on qualification and regulatory support for member companies.
- The Brazilian healthcare system faces significant challenges with fragmented public and private sectors that lack proper integration and coordination.
- Artificial intelligence to complement, not replace, human expertise in healthcare, serving as a support tool for clinical analysis and epidemiological surveillance.
- Healthcare access remains extremely limited for the majority of the Brazilian population, with cost barriers preventing widespread adoption of new technologies.
- The pharmaceutical industry must work collaboratively with the government and healthcare operators to address systemic funding and access issues.
- Brazil has the potential to become a major biotechnology hub in Latin America, but requires clearer regulatory frameworks and sustained investment in innovation.
EF: You have been leading SINDUSFARMA since 2009. What are two major successes you can identify, and what is the focus toward 2030?
NM: When I arrived, we had a very clear vision: we needed to transform the organization from a purely unionized entity, focused on labor and capital relations, into a service provider for our members. Our core mission is to provide essential services to industry members, particularly regarding qualification and regulatory compliance. We expanded our membership base, not only among pharmaceutical companies, but also among service providers and suppliers to the pharmaceutical industry. We help companies navigate the complex requirements for pharmaceutical manufacturing and distribution in Brazil. One of our key achievements was establishing ourselves as the central coordination hub for the sector. When companies need to understand regulatory requirements, connect with suppliers, or access specialized services, we provide that critical infrastructure. This created significant value for our members by streamlining processes that were previously fragmented across multiple providers.
The second major success was our focus on education. Latin America will only advance to the next level through education. We see this in examples like Singapore and South Korea. They changed their trajectory by realizing that education would drive long-term development. We will not reach 2030 with the same mindset we used to reach 2020.
We work on education for our own employees and industry workers, but also for the general public. Many people do not understand how the pharmaceutical industry works, and they also do not understand how Brazil’s public healthcare system, the SUS, operates.
The SUS is very important, but it is frequently misunderstood. It is a significant system, but in medical terms, it represents only a small slice of the global market. Latin America as a whole needs to understand that, although we are a large population with a large set of systems, we still have limited representation in global healthcare funding. Understanding this will put us in a strong position by 2030.
We also created a market access and pricing division. And now we are also conducting a census of the pharmaceutical industry in Brazil. This will be a very important census. We collected information from 85% of pharmaceutical companies operating in Brazil. I did not expect that level of participation, but the engagement was very strong.
We partnered with Datafolha, a highly respected research institute in Brazil. They are known for political polling, but they also have a strong census methodology. The survey has 138 questions divided into six sections, covering topics such as finance, human resources, research and development, production, and factory equipment. We plan to release the results in September for a closed political audience in Brazil, and next year, we want to hold a healthcare system fair in Brazil.
EF: What are the main challenges facing the Brazilian healthcare system today?
NM: Brazil has a strong opportunity to solidify its healthcare system structure. We have public and private systems operating in parallel, and if we can make them communicate or integrate, it will create enhanced coverage. Resources need to be optimized, not duplicated. Another critical opportunity is expanding access to innovative treatments and technologies. The regulatory approval process and funding mechanisms need to be designed to ensure both safety and broad adoption.
Today, pharmaceutical companies are bringing in new technologies, but operators often argue that they are not required to provide these technologies to their members. Because it is unclear, it becomes ambiguous, and that is what leads to judicialization. This means patients go to court to try to gain access to treatments that are not being provided through the normal system. This is happening in both the public and private sectors. At Sindusfarma, we are very concerned about this, as it directly affects the patient.
EF: Shifting topics, how do you see artificial intelligence impacting Brazil’s healthcare sector?
NM: Artificial intelligence should be seen as a complement to human expertise, not as a substitute. We need to be very clear about one thing: AI will not replace human intelligence. It can replace parts of our rational processing, but it cannot replace emotional intelligence, ethics, morality, or human judgment. These are uniquely human. I see AI as a powerful tool that can enhance clinical decision-making and improve diagnostic accuracy, but it must always work alongside healthcare professionals who are qualified. In Brazil, we have significant opportunities to use AI for epidemiological surveillance and population health management. Our large and diverse population generates enormous amounts of health data that AI can help analyze to identify trends, predict outbreaks, and optimize resource allocation. AI can also help address some of our access challenges by enabling remote diagnostics and telemedicine capabilities. This is especially valuable for reaching underserved populations in rural areas where specialized expertise may not be readily available. However, we must be cautious about implementation. The technology needs proper validation, and healthcare professionals need adequate training to use these tools effectively. We also need clear regulatory frameworks to ensure that AI applications meet safety and efficacy standards. The goal should be to use AI to make our healthcare system more efficient and accessible while maintaining the human touch that is essential for quality care.
EF: Given your extensive experience in the sector, what decisions need to be made today to drive the success of Brazil’s life sciences sector toward 2030?
NM: The most critical decision is to establish a sustainable funding model for healthcare innovation. Currently, we have a system where new technologies are approved but not accessible to the majority of the population due to cost barriers, especially because new drugs are targeting more specialized and rare therapeutic areas. This creates a situation where Brazil becomes a market for innovative treatments, but only for a small percentage of patients who can afford them. We need to find ways to fund these systems so they can reach the broader population. This requires collaboration among the pharmaceutical industry, healthcare operators, and government agencies. We cannot continue with the current model, where each sector operates in isolation. Industry has the innovation, operators have the distribution networks, and the government has the regulatory authority, and we need better coordination to make the system work for patients.
Addressing the root causes of rising costs across the value chain can significantly help increase access. For example, studies show that fraud costs among operators account for over 13%, while drug costs represent 8% of costs in the private system.
It all comes down to three words: predictability, legal certainty, and transparency. This has not changed, and it will continue to shape growth toward 2030. Pharmaceutical companies invest billions in developing new technologies. If there is no predictability regarding approval, pricing, or return on investment, the system collapses, and that is extremely harmful. The industry needs clear regulatory rules, legal certainty, and confidence that, after developing a technology, it will obtain approval and a viable price.
EF: How do you see the sector working toward Brazil’s goal of greater health sovereignty?
NM: The Brazilian government said it wanted more than 70% of our healthcare needs to be met domestically within four years. Previously, we had about 95% dependence on imported active ingredients, and we still have that same dependence today, meaning our plans have failed.
This will only change if we achieve sufficient production scale. API manufacturing requires a very high volume. To have a viable regional API industry, we need to supply all of Latin America, or ideally all of the Americas.
Today, India and China still supply the world. China, in particular, is changing rapidly. It is moving beyond lower-value manufacturing toward innovation. We already see Chinese companies entering more advanced biotechnology areas, and by 2030, the landscape will no longer be the same.
China is planning well in advance. While we discuss possibilities for 2030, they are already acting with certainty about where they want to be by then. Their infrastructure and industrial planning are projected through 2050.
