BMI View : 201 6 will be another challenging year for the healthcare sector as the economic outlook worsens on the back of a very weak currency . Medical device manufacturers face the prospect of longer approval times under proposed new regulatory measures, while the ongoing inquiry into the costs of private healthcare could result in the introduction of price capping. Implementation of the national health insurance programme has moved a step forward with the publication of the white paper in December 2015, but the lengthy timeframe for implementation will limit its impact in the short term.
|Total (USDmn)||Per Capita (USD)||Total (Local Currency mn)||Per Capita (Local Currency)||Exchange Rate (Local Currency/USD)|
Latest Updates and Key Forecasts
We forecast the market will grow at a US dollar 2014-2019 CAGR of 2.2%, which will see the market reach USD1.3bn in 2019. Performance will be particularly weak in 2015, when the market will see a contraction of 5.6% due to currency depreciation, while the fall of the rand to below ZAR/USD 15 in December 2015 has increased the risk of a further contraction in 2016.
Despite an upturn mid year, we still expect medical device import performance in 2015 will be negative in US dollar terms, particularly given the current weak position of the South African rand. Imports fell by 1.2% y-o-y in US dollar terms to USD1.1bn in the twelve months ending July 2015.
We expect medical device exports will underperform in 2015 even with currency depreciation, which is making South African products cheaper in export markets . Exports fell by 5.5% y-o-y in US dollar terms to USD193.5mn in the 12 months ending July 2015.
Although the publication of the long awaited white paper on National Health Insurance in December 2015 is a positive step, the lengthy timeframe for implementation, along with funding issues against a backdrop of a deteriorating economic outlook and a high level of unemployment means any positive impact on the medical device market will not be felt for some time to come.
The South Africa Medical Devices Report features market forecasts supported by trade, production and healthcare estimates by Espicom, a BMI Research's company. These forecasts and estimates focus on six product areas: Consumables, Diagnostic Imaging, Dental Products, Orthopaedics & Prosthetics, Patient Aids and Other Medical Devices.
Detailed product breakdown for market, trade and production data in South Africa provides industry professionals, strategists, company executives and analysts with independent forecasts and competitive intelligence on the South Africa Medical Devices industry.
- Benchmark BMI's Medical Devices market forecasts, which take into account macroeconomic and industry-specific forecasts for South Africa, to test analysis as it is a key input for budgeting and strategic business planning. Use our standardised data to gain a better understanding of market performance in South Africa.
- Target Business Opportunities in the South Africa Medical Devices market by using our assessments and projections for demographic trends, regulatory developments, investment dynamics and domestic demand in South Africa.
- Assess the activities and market position of your competitors via our assessments of domestic production, national and multinational manufacturers, along with the trade and distribution outlets of multinationals, key company developments and future growth prospects.
BMI Industry View
Provides industry, political and economic views. Briefly analyses the medical devices market, taking into account the latest industry forecasts, healthcare indicators and industry trends & developments.
SWOT analyses of the medical devices market, the political environment, the economic landscape and the business environment.
Evaluates and analyses the medical devices market in terms of historical and forecast trends, covering six product areas: Consumables, Diagnostic Imaging, Dental Products, Orthopaedics & Prosthetics, Patient Aids and Other Medical Devices. Additionally, presents annual and monthly import and export trade data.
Presents macroeconomic forecasts impacting the medical devices market.
Industry Risk Reward Index
Risk Reward Indices tool, which provides a globally comparative and numerically based assessment of the medical devices market’s attractiveness.
Assesses the medical devices market in the current year. Additionally, covers healthcare trends shaping the market, focusing on health status, healthcare system, healthcare funding, healthcare resources, healthcare activity and healthcare personnel. Includes historical healthcare data.
Industry Trends & Developments
Analyses the latest industry trends and developments shaping the market, in terms of monthly trade performance, forecast trends, production changes, regulatory developments, competitive strategies, political events and economic performance.
A focus on government healthcare reforms, epidemiological trends, mergers and acquisitions, product launches, market entries, FDI activity, R&D, biotechnology, clinical trials and supply chain issues.
Values historical medical devices production, and analyses the presence of national and multinational manufacturers operating in the market. Also, compares the presence of leading multinational company operations, either via sales & marketing, distribution or manufacture. Finally, takes into account market access drivers, including major distribution channels, trade associations and trade shows.
Carefully explains the medical devices market methodology, trade classifications, Risk Reward Index methodology and sources used in the medical devices market Report.