Heads turn to Vietnam’s booming healthcare market


Ho Chi Minh City (HCMC), the former capital and the most populated city in Vietnam, has turned from a reticent fishing village into a vibrant metropolitan city that clocks a GDP growth of 8 – 12% YOY since it opened up its doors for business. With attention being turned away from China due to increasing wages and cost of doing business, Vietnam has become a new-found haven for entrepreneurs and industry leaders to set up or expand their businesses, maximizing the available resources.

A surge of various sites and sources have reported Vietnam’s healthcare market to be growing at a rate of nearly 20% year on year. We at AcuBizTM decided to validate for ourselves, and banked on Vietnam’s annual Medi-Pharma Expo to give us more insights on some of the key drivers and challenges of the market.

Through speaking to local specialist distributors, companies selling their own branded products, and international companies throughout the event, we managed to explore the local healthcare market. On the 2nd day of the exhibition, we also had business-to-business interactions with Indian and Vietnamese health care corporations, which gave us a feel for upcoming opportunities in the region.

Here’s some more about the expo!

HCMC Medical Equipment Association (HMEA) and Vietnam National Trade Fair & Advertising JSC (VINEXAD) jointly organized the 18th International Medical, Hospital & Pharmaceutical Exhibition in HCMC Vietnam. With the able support of the Ministry of Health and Ministry of Industry & Trade of Vietnam, the annual event which took place from the 2nd to 4th of August this year was a phenomenal success, exceeding the standards set the previous year when the exhibition attracted more than 15,000 professionals and visitors. The expo took place in Saigon Exhibition and Convention Center (SECC) which is about 40 km away from the city airport and near the central business district.

As explained by the Vice Minister of Health Mr. Truong Quock Cuong in his greeting message, these events have made a great contribution to supplying healthcare products and services that assist in protecting, caring and enhancing Vietnamese people’s health and quality of life. The event is considered a great opportunity for both Vietnamese and foreign enterprises to exchange experience, introduce products, expand business relationships and explore upcoming high-tech methods.

More than 250 companies from over 22 countries participated and exhibited their products in 2018. Besides Vietnam, the most represented countries were India, China, Korea and Taiwan in that order, with a variety of other countries present such as Russia and the USA. The booths and exhibits included a huge range of products and technologies, from pharmaceuticals, food supplements and cosmetics, to air and waste treatment technologies, medical and pharmaceutical packaging products and medical instruments, to name but a few. Global names such as Gerresheimer AG, Ace Trading, Fujita Medical Instruments, Mori Machinery Corporation, Biosense, Supermax Glove, Axion and Diagnostic Automation/ Cortez Diagnostics Inc were all present and participated in exhibiting their goods and services.

The exhibition also offered activities such as specialized seminars, business meetings, and importantly, tours to hospitals and pharmaceutical manufacturing companies in HCMC for foreign exhibitors. With participants from top government officials and business leaders from both the countries, there was a high level of expertise present and an array of opportunities for all kinds of visitors.

A word of caution! The Vietnamese company representatives had a variety of target audiences, so while very friendly, not all were fully proficient in English. This language barrier made it difficult to speak to some of the local companies, so the ability to converse in both Vietnamese and English would have been optimal to make the most out of the event.

All considered, our time at the expo was a productive two days well-spent!

AcuBiz™, headquartered in Malaysia, is a popular and well-known life science boutique consulting Services Company, which offers consultancy in market research, product development, competitive intelligence, distributor identification and M&A Due diligence among others to international science-based companies, government agencies, and investment entities. Our team comprises of industry experts hailing from scientific, science and management backgrounds and an international team of associates who are experts in various science-based industries.

 

By Suba Ganesh, Project Analyst

August 28, 2018

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