# Presentation: 161323

## Thailand: Medical Device Market

- U.S. Commercial Service
- U.S. Embassy Bangkok, Thailand

- www.buyusa.gov/thailand

**Notes:**
My name is Nalin Phupoksakul. I am a Commercial Specialist in healthcare industry. I work for the US Commercial Service at the American Embassy in Bangkok, Thailand. I would like to share with you information on medical device market in Thailand. 

## Presentation Content

- sector outlook
- market size, growth and trends
- Market Profile
-  Best prospects and prospective buyers
- Market entry
- Market challenges
- Trade events

**Notes:**
I will start off with the sector outlook and market size. I will then move on to the profile of the medical device market. Its best prospect, and market entry. Then, I will talk about the challenges and barriers in entering the Thai market and will finish off with information on the medical device trade event in Thailand.

## Medical Device Market Outlook

- The market growth in 2006 was approximately 24%
- Thailand is heavily dependent on imported medical devices
- Market growth will derive from healthcare facilities upgrade and improvement
- 60% of the demand comes from public hospitals and 40% from private hospitals.

**Notes:**
The market for medical devices in Thailand is expected to grow 23 percent in 2006 and 20 percent in 2007. Thailand remains heavily dependent on imported medical devices. Imports dominate the market with a 89 percent share, and local production still concentrates on low technology and less sophisticated medical devices and accessories. Imports from the United States lead the import market with a 37 percent share and are expected to have an average growth of 25 percent in 2006 and 2007. Most major international manufacturers are well represented in the Thai market. The market growth will derive mainly from the demands for health care facilities up grade and medical devices and accessories replacement. Hospitals, especially private hospitals, are trying to become a specialist in one or more of the medical specializations in order to attract more patients 

## Number of Public Hospital and Beds in Thailand

|  | Bangkok |  | Provinces |     Total |
| --- | --- | --- | --- | --- |
| Public |  |  |  |  |
| Hospitals |  | 39 | 939 | 978 |
| Beds |  | 15,229 | 90,371 | 105,600 |

**Notes:**
There are 978 public hospitals with a total of 105,600 beds. 

## Number of Private Hospitals and Beds in Thailand

| Private | Bangkok | Province | Total |
| --- | --- | --- | --- |
| Hospitals | 104 | 252 | 356 |
| Beds | 15,482 | 20,418 | 35,900 |

**Notes:**
There are 356 private hospitals with 35,900 beds. Sixty percent of the total demand came from public hospitals and forty percent from private hospitals.

## Market Statistic

|  | Million U.S. Dollars |  |  |  |
| --- | --- | --- | --- | --- |
|  | 2004 | 2005 | 2006 | Growth Rate |
|  |  |  | Est. |  |
| Imports | 320 | 413 | 537 | 30% |
| Local Production | 450 | 517 | 595 | 15% |
| Exports | 385 | 456 | 547 | 19% |
| Total Market | 385 | 474 | 585 | 23% |
| Imports from US | 133 | 162 | 203 | 23% |

**Notes:**
The market was worth approximately 585 million US Dollars in 2006 and import market had 92 percent share. Imports from the US had 35 percent share of the total market with a growth rate of 23 percent. Thailand is a major producer of syringes, latex examination and surgical gloves, disposable gowns.

## Major Imports

| Products | Total Imports 
$ | Imports From US $ | US Share % |
| --- | --- | --- | --- |
| HS 3006: Surgical & Dental Supplies | 34 | 4 | 12 |
| HS 9019: Rehab | 25 | 5 | 20 |
| HS 9018: General Medical & Diagnostic Devices | 222 | 67 | 30 |
| HS 9022: X-Ray Apparatus | 92 | 44 | 48 |
| HS 9021: Orthopedic, Implants, Heart Valves | 42 | 22 | 52 |
| Total | 415 | 142 | 34 |

**Notes:**
Major imports include analytical and diagnostic test kits, X-Ray, MRI and scanner units, Orthopedic, dental and rehabilitation devices and accessories.

## Equipment and Services Market Profile

- Imports accounted for 91 percent of the total market
- Products from the US led the market and controlled 38 percent of the total market
- Healthcare service gears more toward international patients
- Physicians obtained specialized training abroad and dictate the purchase of devices

**Notes:**
Again, imports accounted for 91 of the total market demand and products from the US led the imported market with 37 percent share. Healthcare service concentrates more with international patients to make up for the lost of patient to the public hospitals. Physicians make most of the buying decisions and tend to select the devices they used during their medical training.

## Thank you &Welcome to Thailand

- Thank you &Welcome to Thailand

- Nalin Phupoksakul
- Commercial Specialist
- (_[nphupoks@mail.doc.gov](mailto:nphupoks@mail.doc.gov)__) _

- James Golsen
- Commercial Attaché
- (_[james.golsen@mail.doc.gov](mailto:james.golsen@mail.doc.gov)__) _

- U.S. Commercial Service
- U.S. Embassy Bangkok, Thailand

## Best Prospects and Prospective Buyers 

- Heart Valves and Artificial Blood Vessels
- Disposable Diagnostic Test Kits
- Rehabilitation Equipment
- Orthopedic and Implants
- Respiration and Resuscitation Devices and Accessories
- Endoscopic and Laparoscopic Equipment
- Dental Hand Pieces, Dental Fillings and Accessories

**Notes:**
Best prospect products include heart valves, disposable diagnostic test kits, orthopedic and implants, rehabilitation devices and accessories, and dental devices and accessories.

Best prospect products include heart valves, disposable diagnostic test kits, orthopedic and implants, rehabilitation devices and accessories, and dental devices and accessories.

## Market Entry

- Certificate to Foreign Government essentially is the document required for registration with Thai FDA
- Importation is not allowed for medical devices that:
- are not freely marketed and sold in the manufacturing country
- do not have a Certificate to Foreign Government (used or refurbished devices)

**Notes:**
The Thai Food and Drug Administration requires a medical product registration before product importation. A Certificate to Foreign Government is required generally. The Thai FDA does not allow importation of medical devices that do not have a Certificate to Foreign Government, hence used or refurbished devices are not allow to enter Thailand. 

## Challenges and Barriers

**Challenges:**
- Price competition
- Competitors’ long presence
- Flexibility
- Finding good local partners
**Barriers:**
- Import documentation
- Metric system

**Notes:**
The market is relatively opened and most major, large and small manufacturers are presence here in this market. Price competition is always an issue, especially when there are large number of suppliers such as diagnostic test kits, patient beds, dental chair units. Searching for a good and reliable distributor to work with is another major challenge for US manufacturers.  Distributors in Thailand normally require an exclusive agreement for the whole country of Thailand.

The major barrier for imported products is the import documentation requirement. Thai FDA also requires a proof of manufacturer, ISO Certificate or GMP Certificate. 

## Regional and Local Trade Events

**Regional Trade Events:**
**HospiMedica Thailand 2007**
**September 12-14, 2007**
**Queen Sirikit National Convention Center, Bangkok**
**www.hospimedica-thailand.com**

**Notes:**
This is a major medical device trade show that will be held in Thailand during the past several years. HOSPIMedica THAILAND will showcase diagnostic, pharmaceutical, medical and rehabilitation equipment and supplies for the future of healthy collaboration and progress in Thailand and the Indochina region. Furthermore it will serve as a platform for medical suppliers, industry professionals, government bodies, hospital administrators, doctors, nurses and other healthcare professionals. 
5,000 trade visitors and buyers from the region are expected to visit the 3-day exhibition. Join us in bringing global and healthcare technologies to one of the most dynamic regions in the world.