INDUSTRY SNAPSHOT

The global medical industry is one of the world's fastest growing industries, absorbing over 10% of gross domestic product of most developed nations. It constitutes of broad services offered by various hospitals, physicians, nursing homes, diagnostic laboratories, pharmacies and ably supported by drugs, pharmaceuticals, chemicals, medical equipment, manufacturers and suppliers.

The medical and health care industry provides enormous employment opportunities to choose from. Apart from using the services of medical professionals, this industry also utilizes the expert services of public policy workers, medical writers, clinical research lab workers, IT professionals, sales/marketing professionals and health insurance providers.

SIZE OF THE INDUSTRY

The United States of America has one of the largest medical and healthcare industries in the world, followed by Switzerland and Germany. The USA's medical industry comprises of more than 750,000 physicians and 5,200 hospitals. USA witnesses approximately 3.8 million inpatient visits and 20 million outpatients visit on a daily basis. Furthermore, the United States of America has the largest workforce i.e. one in every 11 US residents employed in the health care business.

The Global prescription drug market was $550 billion in the year 2006. Also, the total health care expenditures across the world were $4.5 trillion last year. Of which, US solely account for $ 2.2 trillion, $ 2 trillion in OECD countries and remaining $ 0.3 in other countries of the world. Learn about the challenges for the medical industry in the article '2009 Financial Crisis: Top 9 Issues for Health Industries.'

MAJOR SEGMENTS OF THE INDUSTRY

The global medical industry is highly fragmented, comprising of various ancillary sectors namely medical equipment and supplies, pharmaceutical, healthcare services, biotechnology, and alternative medicines sectors.

• Medical Equipment and Supplies:

  Consists of various establishments or units engaged in designing, manufacturing, selling and distributing of surgical and medical instruments, ophthalmic, lab apparatus, electro medical, dental, irradiation, surgical appliances and supplies.
  

  

  Hospital Equipment & Supplies Products

  • Autoclave
  • Diagnostic Equipment
  • Hospital Hollowware
  • Hospital Rubber Products

  

  
  

  

  Hospital Equipment & Supplies Articles

  • US Medical Equipment and Supplies Industry Profile
  • Clinical Diagnostics Industry Overview
  • Medical Device Industry Outlook and Trends

  

  
   
  
  SHARE OF MEDICAL EQUIPMENT & SUPPLIES IN 2006
  

• Pharmaceutical Industry

  Comprises of several establishments involved in developing, researching, marketing and distributing drugs or medicines. Globally, the market share of pharmaceutical industry is US $340 billion. The global pharmaceutical sales account for US$ 602 billion, with an annual growth rate of 7%. In the year 2006, the global pharmaceutical exports totaled US $ 271.9 billion having an annual growth rate of 10%.
  

  

  Pharmaceutical Drug Products

  • Anti-Infective Drugs
  • Genito Urinary Drug
  • Pain Relief Drug
  • Endocrine Disorder Drug

  

  
  

  

  Pharmaceutical Drug Articles

  • The US Generic Drugs Industry Overview
  • Vaccine Industry Overview and Trends
  • Pharmaceutical Drugs - Industry Outlook
  • Why are Vaccines Invaluable

  

  
   
  
  
  
  

• Healthcare Services Industry

  It includes various establishments dealing in different type of services like testing, outsourcing, transcription, quality assurance, validation, compliance, chemical analysis, and other types of services. The global market share of biotechnology services industry is worth US $ 50 billion, which is soon expected to witness a hike in coming years. Presently, pharmaceutical testing service industry values to US $ 5.9 billion, which is predicted to reach US $ 9.5 billion by the end of 2009. Microbiological testing service industry accounts for US $ 2.4 billion. Globally, the medical outsourcing services industry accounts for approximately US $ 200 billion. Read the US Home Healthcare Industry Overview for more information.
  
  

• Biotechnology Industry

  It is one of the most research-intensive segments of the global healthcare industry. Biotechnology industry is composed of many establishments, which are engaged in making wide variety of biotech products. Biotechnology is primarily being used by the pharmaceutical industry but there are other industries like agriculture, mining, waste treatment industries as well, which are making continuous use of biotechnology. Biotechnology companies focus on developing methods or products used for preventing, diagnosing and treating dozens of life threatening and chronic diseases. The biotechnology industry has mushroomed since its inception and at present it is equivalent to US $ 50.7 billion. China, USA, India, Australia, and France are the market leaders of biotech products in the world.
  

  

  Biotechnology Products

  • Assay Systems
  • Monoclonal Antibodies

  

  
  

  

  Biotechnology Product Articles

  • The US Biotechnology Industry Overview
  • Biotechnology Products A Short Overview

  

  
   
  
  
  

• Alternative Medication Industry

  It includes various groups involved in the promotion of different forms of alternative medications and therapies like ayurveda, homeopathy, aromatherapy, massage therapy etc. The total market size of alternative medicine is valued at US $2.7 billion while global market for traditional therapies accounts for US $60 billion.


Alternative Medicines
• Massage Therapies
• Herbal Body Massage Oil
• Yoga Mats
• Aromatherapy Products




Alternative Medicine Articles
• UK Alternative Medicine Industry Overview
• Alternative Medicine Industry Overview
• Homeopathy - Rise Of The Phoenix
• Who Else Wants To Know About Alternative Medicine?


 

• Dietary Supplements Industry

  According to the Office of Dietary Supplements, consumers in the USA spent $20.3 billion on dietary supplements in 2004. Comprising vitamins, minerals, herbs, botanicals, amino acids, whole foods, nutraceuticals, etc, the USFDA regulates dietary supplements differently than the "conventional" foods and drug products. Regulated by the Dietary Supplement Health and Education Act of 1994 (DSHEA), the manufacturers are responsible for ensuring the safety of dietary supplements before they are marketed. The industry derives much of its demand from growing health awareness, ageing population, consumer spending, and nutrition trends. Bringing out innovative products, effective merchandising and competitive pricing determines the manufacturers’ profitability. Supplements are sold via supermarkets, drugstores, Internet, mail orders, health food stores, and by direct sellers.


Dietary Supplement Products
• Herbal Supplement
• Whole Food Supplement
• Aspartic Acid
• Ginkgo Biloba




Dietary Supplement Articles
• The UK Dietary Supplements Industry Overview
• Dietary Supplements - Industry Outlook
• Dietary Supplements - Saving Billions in Healthcare Costs




 

• Hospital Furniture Industry

  The hospital furniture industry is a part of institutional-type furniture market, engaged in the manufacture of furniture items for theaters, libraries, schools, etc. Hospital furniture may be made custom-built or be made on stock basis, and it may be assembled or unassembled. The institutional furniture manufacturing industry in the US generated annual revenues of about $4.2 billion in 2008.


Hospital Furniture Products
• Hospital Bed
• Hospital Chair
• Hospital Hollowware
• Hospital Stool




Hospital Furniture Articles
• Hospital Furniture - An Overview




 

• Medical Instruments Industry

  The medical and dental instruments industry is diverse and a technologically dynamic market. It is made up of several sectors including surgical and medical instruments, appliances, dental equipment and supplies, etc. While the largest medical instrument markets in the world are America, Europe and Japan, there's a huge potential for the medical instruments industry in China. Also, the industry has a promising future in the US, due to increasing surgical procedures and an aging population.


Medical Instruments
• Curette
• Dental Instrument
• Dermal Instrument
• Forceps




Medical Instrument Articles
• Medical Instruments Industry Overview
• Lasting Benefits Of Medical Device Reuse
• A Brief Guide On Medical Instruments




 

• Medicated Personal Care Product Industry

  Over 750 companies are engaged in the manufacture of personal care products, generating a total of $40 billion in combined annual revenue. The top 50 companies by size account for about 70 percent of industry revenue. Companies within the industry are primarily engaged in blending, compounding, and packaging toilet products such as creams and lotions, shampoos, makeup, sunscreens, skin care products, shaving products, and mouthwashes.


Medicated Personal Care Products
• Herbal Cosmetic
• Skin Care Product




Medicated Personal Care Products Articles
• Medicated Personal Care Products - A Quick Guide




 

• Cleanrooms Industry

  The cleanrooms consumables industry in the US is valued at $1.2 billion and the demand for clean room consumables is expected to at and annual growth rate of 5.9 percent. The most promising segments within within consumables include drugs, foods, flat panel displays, beverages, and hard disk drives. Further, while apparel and chemicals will dominate the market, swabs and wipes will lead witness fast growth.


Cleanroom Products
• Cleanroom Cleaning Equipment
• Cleanroom Gloves
• Cleanroom System




Cleanrooms Articles
• Cleanrooms: Choosing The Right Gloves for Gloveboxes
• A Mini-Guidebook On Cleanrooms




 

• Waste Management Plants and Equipment Industry

  There are about 10,000 private waste management companies in the US, with an aggregate annual revenue of $50 billion. Waste management is a highly competitive industry with the demand being directly proportionally to volume of waste generated. The most common services rendered by the industry include waste collection, treatment, disposal, remediation, and recycling. The wastes processesed include solid wastes, low-level radioactive wastes, and liquid wastes.


Waste Management Plants & Equipments
• Waste Treatment Equipment
• Waste Water Treatment Equipment




Waste Management Plants & Equipments Articles
• US Waste Management Industry Overview


 

• Laboratory Equipment Industry

  Medical industry has a high growth rate and makes up for about 10 percent of the GDP for many countries. The laboratory equipment industry on the othe hand accounts for 7 percent of the medical industry. Some countries have witnessed explosive growth in laboratory equipment. For instance in Germany, the sales of laboratory products surged to reach a record figure of $7 billion in 2006.


Laboratory Equipment Products
• Electrophoresis Equipment
• Laboratory Centrifuge




Laboratory Equipment Articles
• Laboratory Equipments - A Mini-Guide


 

• Laboratory Chemical & Gases Industry

  The clinical laboratory industry of the USA has a market capitalization of $50 billion. Even though the industry represents less than 3 percent of the health care budget, it furnishes over 70 percent of the diagnostic information that results in making medical decisions in patient care.


Laboratory Chemical & Gases
• Chemical Indicators
• Laboratory Gas




Laboratory Chemical & Gases Articles
• Laboratory Chemicals & Gases - An Overview


 

• Medical Clothing Industry

  Medical and surgical clothing plays a crucial role of protection from transfer of bacteria and other pathogens from the skin of the medical staff to the hospital environment and patients. Despite the primary function of medical clothing being protection, the medical staff today expects more from medical apparel in terms of quality and innovation. Whereas manufacturers on the other hand face the challenge of increasing comfort, effectiveness, and efficiencies, while keeping their costs to a minimum.

• Packaging Material and Equipment Industry

  The packaging industry in the United States has expanded to reach figure of $126 billion. As the market has matured the growth has slowed down. As a result, over the next few years the industry will experience growth rates ranging from 1.5-2.0 percent. As against the outlook for the whole industry, the plastic packaging market has a promising outlook. This segment also accounts for $38.2 billion of total packaging industry.

• Patient Aids Industry

  There is an ever increasing population across countries worldwide including United States, Europe, Asia that point to the fact that a wide variety of patient aids and assistive technology device will grow in demand. The global sales of AT devices by US companies totaled $2.87 billion in 1999, up 22 percent from $2.35 billion in 1997. Just in the USA, the Market potential for hearing aids will cross the figure of 60 Million units by 2015.

• Pharmaceutical Raw Materials Industry

  Pharmaceutical raw materials including both active ingredients and excipients will be increasingly used to facilitate the drugs delivery in future. The outlook for the pharmaceutical excipient sector is positive owing to the booming business in preparations for biological engineering and insoluble drugs. The market The production value of this segment worldwide was estimated to reach US$4.6 billion in 2008, while in 2005 the market value stood at $2.5 billion.


Pharmaceutical Raw Material
• Animal Extract
• Drug Intermediate




Pharmaceutical Raw Material Articles
• A Mini-Guide On Pharmaceutical Raw Materials


 

• Pharmaceutical Service Industry

  Pharmaceutical services industry has many components including medical outsourcing, clinical trials, biotechnology services, etc. The global clinical trials industry was worth $10 billion according to estimates and is slated to considerably in future. Outsourcing services such as medical transcription too will grow fast. For instance the US medical transcription industry was valued at $12 billion in 2005 and is expected to reach a figure of $16.8 billion by 2010.

• Veterinary Products Industry

  The veterinary products industry is fueled by growth in the pet ownership trends, as well as by the veterinary requirements of farm animals. The US veterinary services comprises about 26,000 veterinary centers and animal testing laboratories, with a total revenue of $20 billion on an annual basis. According to pet ownership figures in the US about 71.1 millions homes own a pet. The total U.S. pet industry expenditures for 2009 are expected to be $45.4 billion.

KEY GROWTH DRIVERS OF THIS INDUSTRY

There are various factors, which govern the growth of the medical and healthcare industry. Some of the key factors are:

• Continuous investments in research & development has resulted in increased productivity and better quality of drugs, medicines, medical instruments, hospital equipment, and other medical supplies used in medical industry.
• Provides employment to large chunk of human population. United States of America has the largest workforce i.e. one in every 11 US residents employed in the health care business.
• Increased costs in the medical treatment in the developed nations have driven patients to migrate to Asian countries.
• Rise in ailments among the ageing population especially in developed nations has led to the increase in demand of variety of drugs or medicines.
• Innovative techniques of drug discovery and drug development, new cures and treatments, gene testing for insurance, genetic predictions of disease and related issue, human cloning and reproductive technologies are the other key drivers of the medical industry.

FUTURE PERSPECTIVE OF THE INDUSTRY

The future perspective of medical industry seems to be immensely bright and encouraging for this industry in terms of the expected surge in global demand and upsurge in investments. Several trends such as globalization, continuous investments in research and development, newer techniques of drug development and discovery, product proliferation, mergers and acquisitions are the key drivers of this industry.
Increasing corporatization of Private Healthcare in the backdrop of a growing and affluent middle class is an emerging trend that has been pushing the growth of this industry. Health Insurance and Medical Tourism are the other significant trends, which are governing the global healthcare and medical industry. Most of the nations are now emphasizing on the accreditation of medical professionals so as to ensure legitimacy of the services provided by them. Robust advancement in the field of information technology will allow critical medical data to be processed and transferred quickly over larger distances, thereby saving time of both the patients and physicians in the speeding delivery of treatment.