We have been in Düsseldorf, Germany.
Medical technology is and shall remain an export hit. The German medical technology industry makes more than two-thirds of its revenue through the business with buyers in other countries. Above all, the medical advancement, the growth of the middle class in emerging countries, an increase in diseases of affluence, which are also present and unchanged in the industrial nations, as well as a total rise of the older population represent constants for the lucrative health business.
Furthermore, with regard to medical technology and medical product demand, it results in a positive effect that certain countries undertake great efforts to establish themselves as a destination for health tourists. For example, this applies to destinations such as Saudi Arabia, the United Arabic Emirates (UAE), Thailand, Turkey, or also Tunisia.
Independent from positive growth forecasts considered over the long term, the market climate has not been marked by such much euphoria as was the case just a few years ago. The majority of business volume is still determined by state health expenditures and is marked by forced budgetary cutbacks. This is because, with regard to this issues, markets in other countries are not significantly different to the German market. In addition, exchange rate risks are also involved, whereby currently, the European suppliers are primarily fighting the strong value of the euro.
All in all, the innovation orientation is at least on the rise. Even in emerging countries, the demand volume is growing and there is less based on a rise on increased volumes of supply, but driven by targeted investment in modern systems and processes. With regard to this issue, necessary instruments for minimally invasive surgery or also other equipment for medical imaging have to be mentioned.
Therefore, the medical technology manufacturers are particularly at an advantage. Those that do not neglect their own research and product development and can clearly highlight the additional benefit of new generations of equipment and processes have the best cards on the market.