Healthcare & Medical Technologies The Philippines Market Study MARCH 2018 © Copyright EU Gateway | Business Avenues The information and views set out in this study are those of the author(s) and do not necessarily reflect the official opinion of the European Union. Neither the European Union institutions and bodies nor any person acting on their behalf may be held responsible for the use which may be made of the information contained therein. The contents of this publication are the sole responsibility of EU Gateway | Business Avenues and can in no way be taken to reflect the views of the European Union. The purpose of this report is to give European companies selected for participation in the EU Gateway | Business Avenues Programme an introductory understanding of the target markets countries and support them in defining their strategy towards those markets. For more information, visit www.eu-gateway.eu. EU Gateway to the Philippines Central Management Unit The Philippines Market Study March 2018 Submitted to the European Commission on 23 March 2018 Table of Contents LIST OF FIGURES .................................................................................................................................. 6 LIST OF TABLES ................................................................................................................................... 7 TABLE OF ABBREVIATIONS ................................................................................................................ 9 1. EXECUTIVE SUMMARY ................................................................................................................... 11 2. WHAT ARE THE CHARACTERISTICS OF THE PHILIPPINES? ..................................................... 17 3. MARKET OVERVIEW & EU ENTRY OPPORTUNITIES IN THE PHILIPPINES ............................... 25 3.1 THE PHILIPPINES HEALTHCARE & MEDICAL TECHNOLOGIES SECTOR .................................... 25 3.2 ASSISTIVE TECHNOLOGIES ................................................................................................... 53 3.2.1 Market Overview ........................................................................................................... 53 3.2.2 EU Entry Opportunities ................................................................................................. 70 3.3 MEDICAL EQUIPMENT .......................................................................................................... 77 3.3.1 Market Overview ........................................................................................................... 77 3.3.2 EU Entry Opportunities ................................................................................................. 87 3.4 ICT FOR HEALTHCARE ......................................................................................................... 95 3.4.1 Market Overview ........................................................................................................... 95 3.4.2 EU Entry Opportunities ............................................................................................... 106 3.5 TELEHEALTH AND REMOTE HEALTH MONITORING ............................................................... 114 3.5.1 Market Overview ......................................................................................................... 114 3.5.2 EU Entry Opportunities ............................................................................................... 127 3.6 NANOMEDICINE ................................................................................................................. 134 3.6.1 Market Overview ......................................................................................................... 134 3.6.2 EU Entry Opportunities ............................................................................................... 139 3.7 BIOTECHNOLOGY AND LIFE SCIENCES ................................................................................ 142 3.7.1 Market Overview ......................................................................................................... 142 3.7.2 EU Entry Opportunities ............................................................................................... 162 3.8 DENTAL PRODUCTS ........................................................................................................... 169 3.8.1 Market Overview ......................................................................................................... 169 3.8.2 EU Entry Opportunities ............................................................................................... 180 4. REGULATIONS .............................................................................................................................. 186 4.1 GENERAL IMPORT PROCEDURES ........................................................................................ 186 Healthcare & Medical Technologies - Philippines Market Study - Page 4 of 227 4.2 MEDICAL DEVICE IMPORT LICENCE ..................................................................................... 187 4.3 MEDICAL DEVICE REGULATIONS ......................................................................................... 188 4.4 GOVERNMENT TENDERS .................................................................................................... 190 4.5 CONSUMER PROTECTION AND QUALITY STANDARDS ........................................................... 192 5. ANNEX ............................................................................................................................................ 195 5.1 LIST OF USEFUL CONTACTS .............................................................................................. 195 5.2 STARTING A BUSINESS IN THE PHILIPPINES ......................................................................... 197 5.3 USEFUL STATISTICS .......................................................................................................... 200 5.4 BIBLIOGRAPHY .................................................................................................................. 218 Healthcare & Medical Technologies - Philippines Market Study - Page 5 of 227 List of Figures Figure 1: Map of the Philippines ............................................................................................................. 17 Figure 2: EU-Philippines FDI, Trade in Goods, Services ........................................................................ 21 Figure 3: Healthcare system structure and referral system ..................................................................... 26 Figure 4: Statistics on medical professionals in the Philippines .............................................................. 30 Figure 5: Philippine healthcare expenditure split ..................................................................................... 32 Figure 6: Main suppliers of medical and healthcare equipment to the Philippines ................................... 34 Figure 7: Required investments for reaching the Philippine Health Facility Development Plan Targets ..... 37 Figure 8: ACHIEVE strategy of the Philippine Health Agenda, 2016-2022 .............................................. 38 Figure 9: Major private sector players in healthcare industry .................................................................. 39 Figure 10: Supply chain for medical devices to hospitals in the Philippines ............................................ 47 Figure 11: Population pyramid of the Philippines, 2016 .......................................................................... 54 Figure 12: Assistive technologies in the Philippines, 2012-2016 (Market Estimation from Trade Data) ..... 65 Figure 13: Share of imports/exports of assistive technologies (%) by category, 2016 ............................. 66 Figure 14: E-wheelchair for Persons with Disabilities by THW ................................................................ 67 Figure 15: Orthopaedics International, Inc. headquarters in the Philippines ............................................ 68 Figure 16: Indoplas Philippines Inc. plant in Quezon City, Philippines .................................................... 69 Figure 17: MED-EL’s vibrant soundbridge device ................................................................................... 75 Figure 18: Medical devices market by classification ............................................................................... 80 Figure 19: Private vs public healthcare expenditure in the Philippines .................................................... 81 Figure 20: Philab’s warehouse is preparing to send kits to schools all over the country .......................... 87 Figure 21: ICT initiatives in the healthcare sector ................................................................................... 98 Figure 22: The eHATID LGU mobile application ..................................................................................... 99 Figure 23: Health Apps - Visualisation .................................................................................................. 101 Figure 24: Medix EMR Dashboard ........................................................................................................ 106 Figure 25: BPO solutions ...................................................................................................................... 108 Figure 26: EMR & EHR Visualisation ...................................................................................................