Teva plays down European drug price pressure

* CFO: pricing pressures not as bad as some reports suggest

* Teva doesn't see effective price declines

* Higher sales in Europe may indicate market share rise

TEL AVIV, July 27 (Reuters) - Teva Pharmaceutical Industries (TEVA.O), the world's biggest generic drugmaker, is not facing unusual pricing pressures in Europe despite government austerity measures, its chief financial officer said on Tuesday.

"Our sales in Europe testify to the fact that pricing pressures are not as big as newspaper headlines have indicated," Eyal Desheh told Reuters on the sidelines of a news conference to announce second-quarter results.

"Effectively, we don't see price declines in Europe."

Several countries including Greece, Spain and Germany have taken steps to cut drug prices in recent months, unnerving investors who fear a squeeze on drugmakers' margins. [ID:nLDE66K1IV]

But Teva's (TEVA.TA) sales in Europe in the second quarter rose 10 percent in local currency terms from a year earlier, reaching $811 million, indicating the Israeli company is coping well in a competitive environment.

"We are waiting for final numbers but we believe this indicates we have increased our market share in generics in Europe," Desheh said.

Several large drugmakers have said a squeeze on European drug prices is set to accelerate in coming quarters as governments seek to rein in runaway healthcare spending.

"European governments are trying to put some order in what used to be a very chaotic environment, what the U.S. did many years ago," Desheh said.

"There are efforts of governments, government reform, but we are in the generics business, there is less price pressure," he said, noting any pressures were due to competition. He said he did not expect the trend to accelerate.

Teva CEO and President Shlomo Yanai told the news conference the fact that sales were up 10 percent in Europe "is the best proof that Teva can operate in places where there are reforms that results in price pressures".

Jeff George, head of generics at Novartis (NOVN.VX), said this month there may be an increase in price erosion in the back half of the year "given the wave of price cuts in Western Europe, in particular, which were generally double-digit negative generic price cuts ranging from 25 percent in Spain to 12 percent in Italy".

When asked about those comments, Desheh said: "I don't share the sentiments expressed by others."

(Reporting by Tova Cohen; Editing by Michael Shields)