The potential of the medical equipment and devices market in Vietnam
Vietnam’s medical equipment market is evaluated by many organizations to have strong growth potential and will surpass $ 1 billion by 2018.
In recent years, Vietnam’s public health system has marked a positive development to meet the increasing demand and reduce overcrowding. The investment in hi-tech medical equipment and devices is mainly focused on big hospitals in Ho Chi Minh City, Ha Noi, Hue, Da Nang and Can Tho.
According to estimation, HCMC shall invest about $US 900 million to upgrade medical equipment and devices for hospitals from this year to 2019.
In addition, the private health system sector has grown rapidly since 1989. By 2015, 200 private hospitals have been established and primarily served the middle class and have been an ideal choice for individuals who are able to meet the high medical costs.
With the development of the health care sector, Vietnam’s medical equipment and devices market has developed steadily in recent years.
According to a research of Espicom Business Intelligence (a subsidiary of a world’s leading market research company – Business Monitor – BMI) said that the value of medical equipment and devices in the past year of Vietnam reached about $ 837 million and shall increase to USD 1 billion in 2018.
The research also shows that 90% of medical equipment and devices in Vietnam are imported. In which, 30% of the total import value of medical equipment and devices is diagnostic imaging device, including magnetic resonance imaging (MRI) device, CT scanner, ultrasound and X-ray devices. The major countries supply medical equipment and devices to Vietnam are Japan, USA, Singapore, China and Germany, accounting for 55% of Vietnam’s medical equipment and devices import value.
With attractive growth potential, medical equipment and devices sector is still fertile and attract many companies to jump in.
The proof is the presence of 410 prestigious corporations and enterprises from 30 countries and territories with 500 booths joined the 24th Vietnam Medi-Pharm 2017 International Exhibition which was held on May 10th – 13th. This is the largest exhibition in history of medical.
The highlight of the exhibition is the exhibition area on rehabilitation & healthcare markets (REHAtex Vietnam 2017) with the following items: moving aid tools; health monitoring device with multi-function meters, intelligent medical systems; supporting device, …
With the development of the health care sector, Vietnam’s medical equipment and devices market has developed steadily in recent years.
According to consulting company – Ipsos Business Consulting, the development potential of the medical equipment and devices sector in Vietnam is very positive based on many factors.
Firstly, the average life expectancy of Vietnamese people increases, together with the increase of the population aged 60-79 will promote the demand of medical equipment and devices in the future.
Secondly, Viet Nam is actively promoting the development and modernization of public health facilities and equipment in big cities and provinces to meet the increasing demand and reduce the overcrowding. Viet Nam also receives support from international organizations in order to improve the quality of the health sector.
In terms of production, Ipsos Business Consulting said that since joining the World Trade Organization (WTO) in 2007, the wave of medical equipment and devices companies who invest in Vietnam has increased steadily, such as: Terumo, Sonion and United Healthcare have moved their factories from other countries to Vietnam to take the advantage of cheap labor and supporting policies from the government.
Source: Huyen Thanh – Báo đầu tư