Medical Equipment & Supplies
Indonesia
Overview
U.S.$ Millions 2004 2005 2006 (estimated)
Total Market Size 141 165 187
Total Local Production 42 52 52
Total Exports 24 35 35
Total Imports 123 148 170
Imports from the U.S. 15 17 21
Note: The above statistics are unofficial estimates.
Indonesia’s market for medical equipment and supplies shows increased growth and offers a great opportunity for U.S. manufacturers. Currently, over 85 percent of medical equipment and supplies are imported. Total imports of this sector grew from $123 million in 2004 to $148 million in 2005, with U.S. products accounting for 11 percent of this market. The market is predicted to grow by 15-20 percent over the next two years. Major competitors by rank of imports are Germany and Japan. Smaller players like Korea, China, and India offers low-priced equipment, further intensifying the competition. The use of local/distributors to market medical products in Indonesia is required. Pricing is a key success factor in this business, followed by quality and after-sales service.
Best Products/Services
Electro medical and diagnostic equipment
Respiratory appliances
Disposable products
X-ray units and X-ray films
Opportunities
As 85 percent of medical equipment and supplies are imported, an excellent opportunity exists for U.S. manufacturers. In Indonesia, U.S. products are widely known to be of high quality and standards. To gain market share, U.S. companies need to aggressively pursue the Indonesian market. In general, the Indonesian market for medical equipment and supplies is highly sensitive to prices. Financing option will also assist in penetrating the market.
Resources
Ministry of Health:
Directorate General of Medical Care, Tel. (62-21) 5203880, Fax: (62-21) 5211571.
Directorate General of Pharmacy and Medical Devices Services:
Tel./Fax: (62-21) 9229224.