Report Suggests Refurbished Device Market Will be Worth $8.45 billion by 2017
Markets and Markets (M&M), a market research company and consulting firm that tracks a range of industries including medical devices, reports that the world market for refurbished medical devices could reach $8.45 billion by 2017, driven largely by the growth in healthcare investments by developing countries.
Biotechnology instruments and imaging/monitoring/diagnostic devices contribute the maximum share (78 percent) to the global refurbished devices market, followed by minimally invasive surgical devices at 16 percent and radiation oncology systems at 2 percent in 2011.
Refurbishment restores used equipment or systems through repairing, reworking, updating and replacing of worn parts with original parts to ensure a condition of safety and effectiveness comparable to when the equipment was new. All refurbishment processes should be consistent with product specifications and service procedures defined by the original manufacturer for that equipment or system. These processes do not alter the equipment’s or system’s performance or safety specifications. This device market encompasses imaging-monitoring-diagnostic devices, radiation oncology systems, minimally invasive surgical devices, biotechnology instruments and others.
The major driving factor for this market involves the affordable price range of refurbished devices that aid small and medium healthcare institutions to provide advanced treatment at lower rates. Developing countries in Latin America, Asia, and the Middle East—among others—are driving this market as they are becoming wealthier and welcoming new medical equipment for serving advanced treatments, but not so much as to be able to afford purchasing brand new, highly expensive medical equipment.
According to the report, the refurbished imaging/monitoring/diagnostic devices segment represents the highest growing segment, contributing to 17 percent of the global market.
North America, specifically the United States, is the largest market for refurbished medical devices. Next on the list are Latin American countries such as Chile, Ecuador, Bolivia, Mexico, and Peru. Further down is India, the biggest market in Asia. M&M predicts Asia will be the most lucrative market for refurbished devices in the near future.