World refurb market to be worth $8.45 billion in 5 years: report
September 04, 2012
by Brendon Nafziger
, DOTmed News Associate Editor
The world market for refurbished medical devices could reach $8.45 billion by 2017, driven largely by the growth in health care investments by developing countries, according to a Markets and Markets report released last week.
However, the reluctance of public sector facilities to buy refurbished devices in countries like Venezuela and the Philippines, and regulations that ban or restrict imports in many countries, are acting as "restraints" on market growth, the firm said.
Also, because refurbished devices are derived from secondhand parts they suffer from a "misconception of lower quality," especially in China, Brazil and Japan, according to a summary of the report Markets and Markets sent to DOTmed News.
Still, Asian and Latin American countries' growing health care budgets, the lower price of refurbished equipment, and the desire for "green," waste-reducing purchases will all help drive an estimated 7.8 percent compound annual growth in the market over the next five years, the report said.
India is seen as the most promising new market, Markets and Markets said, and imaging and monitoring equipment, such as ultrasound and C-arms and mobile MRI, and biotechnology instruments, such as lab tools, together make up the biggest chunk, or 78 percent, of the world refurbished market.
Minimally invasive surgical devices, such as endoscopes, catheters and balloon pumps, come in second, at 16 percent of the market, followed by radiation oncology, such as linear accelerators, at 2 percent.
The report is "Refurbished Medical Equipments Market - By Device Types & Applications (2012-2017) (Imaging-Diagnostic-Monitoring Systems, Radiation Oncology Systems, Minimally Invasive Devices, Biotechnology Instruments, Operating Room Equipments) Global Trends & Competitive Analysis."