Singapore’s pharmaceutical market is expected to expand from $903 million in 2016 to $1.15 billion by 2021, according to GlobalData, a leading data and analytics company.
The company’s latest report: ‘CountryFocus: Singapore’ reveals that Singapore’s healthcare market is driven by universal access to health insurance schemes and world-class biomedical sciences research facilities. However, the market is small in comparison to those of other developed countries, primarily due to the small population.
In 2010, Singapore was ranked fourth globally for its healthcare infrastructure, according to the Institute for Management Development. Efficient healthcare infrastructure and increasing public healthcare expenditure are expected to drive the market.
Sama Khan, Healthcare Analyst at GlobalData, comments: “Singapore develops pharmaceuticals and medical devices at the medical technology hubs MedTech, Biopolis and Tuas Biomedical Park. The country has emerged as a regional hub for the manufacture and R&D activities of multinational pharmaceutical companies, and offers excellent opportunities for biomedical science companies via a pro-business environment, low unit labor costs, low corporate tax and strong government support.”
The medical device market is expected to grow as Singapore strengthens its position as the region’s healthcare hub. In 2015 the medical device market contributed $1.69 billion to Singapore’s output.
Khan continues: “While medical devices are imported primarily from the US, Japan and Germany, products such as syringes, catheters and research instruments are manufactured domestically. There are over 30 medical technology companies in Singapore that have set up commercial-scale plants to produce medical devices for the regional and global markets.”
Singapore offers a solid economy for investors due to the stable government and its initiatives. In 2016, Business Environment Risk Intelligence (BERI) ranked Singapore first among 50 countries as an investment destination. The country continues to boost its knowledge-based, free market economy, which is primarily dependent upon exports. It provides a corruption-free and open market environment.
Khan concludes: “The government offers universal healthcare coverage through a mixed financing system. Per-capita government expenditure on health increased from $1,656 in 2009 to $2,752 in 2014 according to the World Bank, and is expected to increase further over time due to the anticipated growth of the elderly population.”
Information based on GlobalData’s report: CountryFocus: Healthcare, Regulatory and Reimbursement Landscape – Singapore