Import substitution + high incidence of cancer, endoscopic diagnosis and treatment equipment industry is booming

Endoscope is an integrated monitoring instrument integrating optics, ergonomics, precision machinery, modern electronics, mathematics, and software. It is one of the direct and effective medical devices for medical personnel to observe the diseased tissues in the human body. It has high image clarity, Simple operation and other advantages. In my country, endoscopy and minimally invasive treatment have been developed late, but the speed of popularization is very fast, and the market size of medical endoscopes has grown rapidly.

The global endoscopic medical equipment market is growing steadily by 5%, and the domestic market is growing rapidly by 23%

The endoscope market is growing rapidly, driving the increasing demand for medical equipment and consumables for endoscopes. In 2019, the global endoscopy market was about 24 billion U.S. dollars, and the compound growth rate from 2015 to 2019 was about 10%, which was about 4 percentage points higher than the global compound growth rate of medical devices. According to FROST&SULLIVAN’s forecast data, my country’s domestic endoscope market has a compound growth rate of 9.25% from 2018 to 2022, driving the rapid growth of endoscopic medical equipment used with endoscopes.

According to Boston Scientific's statistics and forecast data, the global endoscopy medical equipment consumables market is about 6 billion U.S. dollars, and the compound growth rate from 2017 to 2020 is expected to be 5%. The domestic endoscope diagnosis and treatment market started late, but the growth rate is higher than the global growth rate. It is conservatively estimated that the current domestic endoscope diagnosis and treatment equipment market is about RMB 4 to 5 billion, and the compound growth rate from 2017 to 2020 is about 23%.

The global endoscopic medical equipment market is highly concentrated. From the perspective of competition, Boston Scientific, Olympus and Cook City account for 83% of the market. The market share gap between Chinese manufacturers and overseas manufacturers is huge, and the future will be accompanied by technology. Upgrade and price advantage market share is expected to further increase.

The domestic market for endoscopic diagnosis and treatment consumables has a low localization rate, and the future import substitution market is broad. According to statistics, the market share of each manufacturer in 2015 were: Olympus 25%, Cook 22%, Boston Scientific 28%, Nanwei Medical 7%, Hangzhou Jiuhong 5%, Hangzhou Anrui Accounted for 4%, and other manufacturers accounted for 9%.

The domestic incidence of gastrointestinal cancer is high, endoscopic diagnosis and treatment is the gold standard for early cancer screening

The domestic digestive endoscopy interventional diagnosis and treatment rate is low, and the market penetration rate is much room for improvement

Compared with countries such as Europe, America and Japan, the development rate of gastrointestinal endoscopy in my country is relatively low: 1664 cases of gastroscopy per 100,000 population are relatively sufficient compared with European and American countries, but only 1/5 of Japan; and 436 cases of gastrointestinal surgery/ A population of 100,000, less than 1/8 of the United States;

The development rate of RCP (endoscopic retrograde cholangiopancreatography) is significantly lower than that of developed countries in the world. In addition, the average cost of digestive endoscopy in my country is significantly lower than that in European and American countries. In the future, the penetration rate will be closer to that of developed countries, which will drive the growth of the use of endoscopic medical consumables.

Endoscope manufacturers need high-standard production environment

1. The natural environment and sanitary conditions around the location are good, at least there are no air or water pollution sources, and it should be far away from arterial roads and cargo yards.

2. The ground and roads in the factory area should be level and dust-free. It is advisable to reduce the area of ​​exposed soil through greening or to have measures to control dust. Garbage, idle items, etc. should not be stored in the open air, etc. In short, the environment of the factory area should not cause pollution to the production of sterile medical devices.

3. The overall layout of the factory area should be reasonable, and it should not adversely affect the production area of ​​sterile medical devices, especially the clean area.