Vivek Tiwari, Founder and CEO, Medikabazaar gives an insight on the growth prospects of medical devices market in the coming years
Refurbishment suggests restoring of the equipment or device to a reusable condition without changing the basic specifications of the device. The process of refurbishing medical devices ensures the safety and efficacy of the device so that the performance of the device is not altered. Refurbishment therefore replaces the end-to-end manufacturing process.
According to the many researches conducted, the refurbished medical devices market is expected to show tremendous growth in the upcoming years. Due to budget constraints, medical institutions in the developing and under developed nations are trying to reduce their capital investments and spending on medical devices and related equipment. Along with the rapid growth and advancements in medical technology, new inventions are being introduced into the market constantly.
The concept for affordable buying is therefore developing strong roots accelerating growth of the refurbished medical devices market. Growing industrialisation in the healthcare sector, poor medical facilities for various medical treatments, huge population to be served, growing number of hospitals and clinics with budget constraints especially in the developing countries altogether have created enormous growth opportunities for this market.
The increasing need to adopt more eco-friendly practices is one added advantage to the spurring growth of this market in the coming days. The increase in adoption of refurbished medical devices contributes to the industry, by reducing the burden of disposing wastage, thereby decreasing pollution. It is both an economical as well as environment-friendly option. Many manufacturers and vendors are implementing this concept by introducing the process of re-manufacturing and commercialising used medical devices. Apart from this, selling out surplus devices to medical institutions or exporting them to other developing or under developed countries also generates extra revenue for manufacturers.
Considering the existence of many large, medium, and small companies in the healthcare market, the global refurbished medical devices market is largely divided into fragments. The refurbished market is dominated by diagnostic imaging equipment segment accounting for over 75 per cent of the total market share. Furthermore, demand for improved and easily accessible treatment for cancer and cardiovascular diseases is increasing for patient safety, thus increasing the growth opportunities.
Geographically, the North American market account to approximately 50 per cent of the total market and, is the largest regional market for refurbished medical supplies. Whereas, The Asia Pacific, is expected to be the highest growth market due to the developing healthcare infrastructure of the countries.
Leading healthcare market players are coming forward and taking initiatives to create refurbishment facilities in developed as well as developing markets, further adding to the growth prospects of refurbished medical devices market. Developing markets including India offer a high growth potential for organisations engaged in manufacture and distribution of refurbished medical devices.
Initiatives undertaken by leading market players, constant increase in patient population, and rising participation among original manufacturers and third-party refurbishers are the key reasons boosting the growth of refurbished medical equipment market in emerging markets.