HEALTH CARE SECTOR OPPORTUNITIES Czech Republic presented by Veronika Novakova Commercial Specialist Prague, Czech Republic: HEALTH CARE SECTOR OPPORTUNITIES Czech Republic presented by Veronika Novakova Commercial Specialist Prague, Czech Republic
Czech Republic: Czech Republic Central location
Population: 10.247 mil.
Area: 78,886 sq.km
Counties: 14
GDP per cap.: $11,939
Average Monthly Wage: $865
Unemployment Rate: 7.9%
Inflation rate: 1.6%
Industries
Auto, Machinery, Electronics, Beer, etc.
Healthcare in the CR: Healthcare in the CR High quality but very costly to the government (need for reform)
Mandatory insurance (9% employer, 4.5% employee) covers 80% of total HC expenditures, out-of-pocket payments are only 7%
Aging population - Life Expectancy: Males - 72.6 years; Females – 79.4 years
The most common causes of death: 1/ diseases of circulatory systems, 2/ malignant neoplasm
The number of sick days is one of the highest in Europe
Medical Device Market: Medical Device Market Source: OECD, 2005 Competitive market with a good potential for innovative and state of art technologies
Hospitals: almost 200 in the country, mostly under jurisdiction of regions, exception are teaching hospitals, only about 10 percent is private (Agel)
Best prospects: Diagnostic and therapeutic devices - Cardiosurgery, cardiology, oncology, neurosurgery, gynecology, orthopedics, haemodialysis, laboratory technique and tests, Active Implants - stimulators, pumps, sphincters, penile protheses, artificial organs, portable dialysis machines, Passive Implants - artificial articulation, spinal implants, Consumable supplies - Common consumables for surgery.
Drugs & Pharmaceuticals : Drugs & Pharmaceuticals Czechs are big consumers of pharmaceutical products
Strong position of generic drugs in the market (Zentiva company)
Vitamins & Nutraceuticals: Highly competitive market (rise in custom duties for US supplements after entering EU, decrease to 0% in EU)
The vast majority of pharmacies are in private hands. In 2003, there were 1,938 pharmacies and 201 dispensaries registered
Trends: self-medication (especially young generation), informed customers in cities unlikely to remain faithful to brands, spending power on rise, growth in supplements popularity, demand for consultation services in the pharmacies (x supermarket sales)
Dental Equipment: Dental Equipment
Dental sector in the CR is small and competitive (strong European companies) but offers good potential for new and innovative products The insurance system covers all standard services (amalgan filling, basic endodontic treatment, etc.) but patients must copletely pay for all the other procedures (cosmetic fillings, implants, non-basic treatments)
The number of dentists is expected to fall as the number of dentists who retire is higher than number of graduates. In 2002, there were 7,645 registered dentists. The population per active dentist was 1,514. Less than 1% of dentists work completely outside the system of health insurance, in fully private practice.
Laboratory device: Laboratory device The Czech laboratory instrumentation market is comprised of about 250 importers and distributors representing over 1,500 manufacturers, most of the companies in the laboratory sector are small and medium-sized companies The Czech market is cost sensitive but offers good sales prospects,
especially for more advanced products
There is estimated almost 1,000 labs in the Czech Republic
Biotechnology market: Biotechnology market
a strong network of academic and research institutions in the life sciences area, out of 294,082 total Czech university students, approximately 256,777 are enrolled at life science universities
The main centers of biotechnology, molecular biology, and pharmaceutical research and development are located in Prague and other major Czech cities: Brno, Olomouc, Hradec Králové, Plzeň and České Budějovice.
a long tradition of cutting-edge scientific research,
heritage of innovation is evident in the contemporary
Czech economy
Slide9: HC Market Challenges Late payments: especially in case of hospitals, in some cases delay in payment may be over 1 year
Product Registration: all the products have to be registered in the Czech Republic
Reimbursement: challenging problem especially in pharmaceutical sector where calls for transparency led to complaint filed with the European Union
HC Market Opportunities: HC Market Opportunities International Clinical Research Center (ICRC) Brno: project has been officially launched in 2006, the center is to create platform for an new type of international scientific partnership, US Mayo Clinic is one of the most important project partners
ICRC Brno estimated costs are around $75 mln. Hradec Kralove Region is looking into opportunities to attract HC research and companies to the region, it can offer strong base of three medical faculties, e.g. US company Arrow has its plant there
Thank you: Thank you Ms. Veronika Novakova
Commercial Specialist
US Commercial Service, US Embassy
Trziste 15, 118 01 Praha 1, Czech Republic
Phone: +420 257 022 437, Fax: +420 257 022 810
E-mail: Veronika.Novakova@mail.doc.gov
www.buyusa.gov/czechrepublic