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Japan is the second largest pharmaceutical market in the world Complementing other pharmaceutical markets in Asia, Japan have well established pharmaceutical industry with high drug quality standards, predicted to be worth $ US 87 billion by 2014.

Changing demographics in Japan have prompted its government to create legislation that supports foreign investment into the pharmaceutical industry. The government wants generics to account for a 30% market share by 2012 and pharma  companies are actively looking for international partners to help them boost capacity.