Mexico medical device market growth
By Adina Moloman
Sources: www.espicom.com, www.qmed.com, www.plasticsnews.com
Developed markets dominate the medical device industry with 75% of the total global sales, but this share will decline 20% in the next 10 to 20 years. Emerging markets therefore are expecting to carry the medical device industry growth. Emerging countries especially BRIC (Brazil, Russia, India and China) and MIST (Mexico, Indonesia, South Korea and Turkey) members will increase their share by ten percent over the next years and thus account for about 30 percent of the world medical device industry.
The best example is the medical device industry manufacturing in Mexico that was worth almost $4 billion in 2013 and is expected to reach around $6 billion in 2020, at a Compound Annual Growth Rate (CAGR) of 6.1%.
A few aspects were relevant to the Mexico medical device market growth; improvements in the local legislations for medical devices, political, economical and demographic aspects which leaded to an increase in health expenditure, new technology acquisition and the attraction of more FDI dedicated to the medical device sector.
The current medical device regulation is based on the US procedures since the Mexican medical device market is dominated by medical device imports, mainly from the USA.
There is another important aspect that is relevant to medical device manufacturers and this is the registration procedure of medical device goods. Here applies the so called ‘equivalency agreement’ with the United States, Canada and Japan, which allows for a quicker review compared to the standard procedure.
According a new report by Cleveland-based Freedonia Group Inc., the world demand for medical device packaging is expected to increase 5.9 percent annually to $25.7 billion in 2017 and Mexico is one of the main countries that will take advantage of this increase in the future demand.
Mexico currently has risen to number 11 as the largest medical device exporter globally and will be in the top ten over the next five years. Not only this, by 2020, Mexico is expected to take over three BRICS (Brazil, Russia and India), taking 7th place as the world’s largest economy.
