Insights and Opportunities
Overview: Indonesia is the fourth most populous country in the world, relying on imports for over 85% of medical equipment and supplies. Total imports of this sector grew from $332 million in 2007 to $369 million in 2008, with U.S. products accounting for over 10% of the market. The market is predicted to grow by 5-10% over the next two years. Major competitors by rank of imports are Germany, China, Japan, France and the United Kingdom. China, Korea and India offer low-priced equipment. The use of local/distributors to market medical products in Indonesia is required. Pricing is a key success factor in this business, followed by quality and after-sales service.
Indonesia offers a large potential for the medical equipment and supplies market. The market shows consistent growth of 10-15%, and offers a great opportunity for U.S. manufacturers. In Indonesia, U.S. products are widely known to be of high quality and standards. To gain market share, U.S. companies need to aggressively pursue the Indonesian market. In general, the Indonesian market for medical equipment and supplies is highly sensitive to prices. Financing options will also assist in penetrating the market.
Best Products/Services: Ventilators and anesthesia equipment; Laboratory and diagnostic equipment; Disposable products; and Radiology.