Bengaluru, June 03, 2016: According to the Research Analyst, Ken Research, Data has revealed that the Indian medical equipment market is witnessing exciting times in terms of growth and expansion. In fact, it is expected to report a CAGR of 9.4% and reach almost USD 17.6 billion by 2020. Specifically, the dialysis equipment market in India is showing signs of rapid growth owing to the recent announcements in the Budget 2016-2017.
Factors Driving Growth in the Indian Dialysis Equipment Market
· Increasing incidence of diabetes which causes kidney-related medical conditions which further require dialysis treatment.
· Increasing obesity due to improper eating habits which causes renal diseases that are treated with dialysis procedures.
· Increasing hypertension due to extreme stress which has a direct and negative impact on the kidney leading to the use of dialysis equipment.
Latest Happenings in the Indian Dialysis Equipment Market
· Duty Exemptions: In a move which is expected to significantly cut costs of dialysis procedures, the Union Budget 2016 entailed details of various duty exemptions on certain dialysis equipment.
· National Dialysis Service Program: Announced in the Budget 2016, this program aims at meeting the demands of kidney patients more effectively by being available in all district hospitals. The program is funded through a PPP model under the National Health Mission. This program has the potential of increasing the growth of public dialysis equipment to approximately 17% as opposed to the current 5% growth.
Current Challenges in the Dialysis Equipment Market in India
· Hike in Import Duty: The government recently announced a hike in the import duty which will negate any benefits, duty exemptions on certain parts of dialysis equipment are going to have. This is because 70% parts of a complete dialysis is still imported in India as advanced technologies for locally manufacturing the equipment is still not present.
· Operational Constraints: Apart from the cost of equipment, there are several operational constraints that restricts medical practitioners from offering this treatment. Those facilities that offer dialysis treatments must also have other equipment such as Reverse Osmosis (RO) facilities, accessory equipment, dialysis beds, continuous supply of water and availability trained technicians and nurses. Thus, even though duty exemptions will make it easier for district hospitals to get dialysis equipment, they also need assistance with supporting equipment to be able to effectively treat kidney patients.
Business in the Indian Dialysis Market
Currently some players in the Indian dialysis equipment market include B Braun, Baxter-Gambro and Nipro. The market is led by Fresenius, a German company specializing in making dialysis equipment. At present, business in the Indian dialysis market is valued as USD 50.0 billion and is expected to grow further. One of the latest development in the market is the proposed launch of portable dialysis system by Medtronic. Such a machine can prove to be disruptive for Indian dialysis market because it will be easily transportable to rural India and will require much less water. In addition, this machine would require much lesser technician and treatment using it can be performed under the expertise of senior doctors. The machine is ready to be available in the market by 2017, according to the Research Analyst, Ken Research.
Corporate Comm India (CCI Newswire)
