Life Sciences Sector in Indonesia
Rising incomes are leading to increasing demand for quality healthcare, which supports the growth of private hospitals in the country. These hospitals are trying to keep up with developments in high-tech medical equipment.
Indonesia’s medical device market was recorded as being worth US$780 million in 2012, predicted to continue growing at about 15 percent per year. 95 percent of this total value came through imports and foreign manufacturers accounted for 90 percent of all medical device registrations in 2012. There is continuous demand for high-tech medical equipment and devices from private hospitals.
In the pharmaceutical sector, Indonesia registered an average double-digit growth of 13 – 14% between 2009 –2011. Over the counter (OTC) medication is growing steadily, supported by the launch of retail outlets. There is also stable growth in generic medication, supported by the lower middle class and below.
Demand for quality healthcare in Indonesia is expected to steadily increase, particularly in terms of:
Therapies and treatment equipment for cancer
Clinical laboratory equipment for circulatory problems, infections, parasites and respiratory problems
Diagnostic and surgical equipment, including for plastic surgery
Health food supplements, vitamins and over the country drugs
Healthcare IT systems
Getting into the market
Finding a local partner is a mandatory requirement and a key to market entry. To take advantage of the opportunities available, it is crucial that companies:
Appoint the right business partner who has an Import Identifier Number (API – Angka Pengenal Import)
Visit the market on a regular basis (face-to-face contact and the development of relationships is critical to business success)
Prepare comprehensive information packs profiling your company, product specifications, pricing and terms of payment
Participate in major trade exhibitions to showcase products/ services to relevant audience/ buyers
The sheer size of Indonesia means that more than one distributor is often needed if a company is seeking to penetrate second tier cities and rural areas. All healthcare supplies and equipment must be registered with the Department of Health, a process which may be carried out by the manufacturer, packaging companies or importer.
Market intelligence is critical when doing business overseas, and UKTI can provide bespoke market research and support during overseas visits though our chargeable Overseas Market Introduction Service (OMIS).
To commission research or for general advice about the market, get in touch with our specialists in country – or contact your local international trade team.
Mima Sefrina, British Embassy Jakarta, Indonesia; Tel: +62 21 2356 5352; Email: email@example.com
UKTI runs a range of events for exporters, including seminars in the UK, trade missions to overseas markets and support for attendance at overseas trade shows.
Hospital Build and Infrastructure Asia
5-7 September 2013
Kartika Expo, Jakarta
The 9th Indo Pharmaceutical Expo, Pharmaceutical Processing and Packaging
30 October-02 November 2013
JIExpo, Kemayoran, Jakarta
Jakarta Hospital Expo
06-09 November 2013
Jakarta Convention Centre