TECHNOLOGY DRIVES GROWTH IN HOSPITAL ANAESTHESIOLOGY MARKET.

London, 1994...--(BUSINESS WIRE)--The Western European market for anaesthetics devices, including ventilators, patient monitors and associated consumables will continue to be driven by technology.

However, technology advances are becoming increasingly expensive, and many companies will continue to adopt a follower policy in the mid-1990s, leaving advances to be made by small companies, typically innovating in the large US market.

Western Europe is a diverse market for hospital anaesthesiology and associated devices, as the region is clearly divided into a number of territories, each of which have a different base market size, healthcare system and culture, and purchasing pattern for goods.

According to a new report by international market research publisher Frost & Sullivan, most sales revenue within the market for hospital anaesthetics devices and related acute respiratory-care devices, valued at $1223.83 million in 1993 and expected to reach $1591.40 million by the end of the study period in 1998, is generated in the consumables sector.

The combined markets in consumables for anaesthetics and related acute respiratory care, and associated patient monitoring, is forecast to be worth $717.21 million by the end of 1994, accounting for almost 54 per cent of the total market.

This value is split into sales worth $358.22 million in the anaesthetics/ventilator (A/V0 consumables (intubaton, masks, circuits etc.) market, and $358.59 million in patient monitoring (PM) consumables (cannula, sensors etc.) in the same year.

The ECG monitor market will be the strongest growing segment - mainly because ECG remains the most poplar base in anaesthesiology for patient monitoring - is expected to be worth $255.53 million by the end of 1994.

Sales of ventilators are predicted to reach $197.54 million, and those of anaesthetics machines will be standing at $101.83 million.

Frost & Sullivan expects non-ECG patient monitor sales will be exceed just $50 million, while sales of near-patient blood gas analysers, a relatively small market, will be worth $5.82 million.

Technology push has a higher impact in the ventilator and patient monitoring equipment markets. However, ventilator sales appear to have been satisfying in recent years, so the actual growth to 1998, even though it is stimulated by product enhancements, will be lower than in the anaesthetic machine market, where technology has a lower influence but sales up to 1994 were lower.

In general, the markets will see a slight positive influence due to the small expanded base for surgery developed as more day-care centres in hospitals are formed to provide minimally-invasive surgery.

While territorial growth will be most attractive in Germany, worth $317.57 million in 1993 and in the UK, estimated to have been worth $124.81 million in 1993, the Italian market will experience disappointingly low growth rates, rising by only 2 per cent from its 1993 level of $210.24 million to reach $232.65 million by 1998.

This is mainly because national economic difficulties will be reflected in the short term funds available to the Italian public hospital system.

By 1998, the German market will be worth $449.38 million, compared to the French market, the nearest territorial rival, where the market is expected to increase from its 1993 level of $233.55 million to reach $295.98 million by 1998.

The report says: "Growth is held down in Europe due to cost containment in all the territories, and the short-term economic difficulties which most governments presently face."

"Although the EC has introduced new regulations covering the quality of design, manufacturing and supply of medical devices, and they will be mandatory by the start of 1995, these regulations will have a neutral effect on unit sales and sales revenues in the markets."

Frost & Sullivan is an international high-technology research firm. All Frost & Sullivan reports are based on extensive interviews with marketing and technical experts from selected companies in each market segment. Primary research is validated by thorough analysis of available secondary research. Frost & Sullivan is the leading publisher worldwide of high-technology research reports.

Code: 1971-57 Publication Date: 1994 Price: $3800

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