1. @DiscoverForums Vietnam

2. @ DiscoverForums Healthcare in Vietnam Estimated market size US$ 265 mil in 2014 Market growth approximately 12% between 2009-2011 Currently growing at 5- 6%.

3. @ DiscoverForums Trends Population 93,421,835 (15 th in the world) Increasing middle class Increased awareness of health issues Economic/regulatory reform Increased life expectancy

4. @ DiscoverForums Trends Due to low quality, around 30,000 Vietnamese people go abroad spending more than US$1 billion every year GVN: Universal health coverage by 2015 – 30% percent have no form of public health insurance. – private health expenditures remain high at 57% of the country’s total health spending.

5. @ DiscoverForums Demand Estimated: – 1,062 state hospitals, – 100 local private hospitals and – 15 foreign invested hospitals = 145,000 beds. Capacity at 150-250% “Out of pocket” payments There are 273 new hospitals at some stage of the planning process with slightly over half of these projects located in Southern Vietnam.

6. @ DiscoverForums Pharmaceuticals Projected 20% annual growth through 2017 MOH - total medicine consumption was more than US$2.43 billion in 2011; US$3 billion in 2012 Typical VN spends $104 annually on pharmaceutical products ($148 in China, $51 in India) Business Monitor International ranks Vietnam 13 th of 175 countries for the fastest growing global market in drug spending. Counterfeit drugs, poorly monitored pharmacies

7. @ DiscoverForums Pharmaceutical Regulations The main regulatory authority: Drug Administration of Vietnam (DAV) under the preview of the Ministry of Health. The DAV is responsible for: – granting medicine circulation licenses, – drug import licenses, – registration of drugs, – Monitoring production of drugs. GMP Compliance; inspections carried out by Vietnam’s Department of Pharmaceutical Management (DPM) in compliance with WHO standards.

8. @ DiscoverForums Medical Devices & Equipment: National development priority Growing at 10.3% annually The medical device market is estimated at US$645.4mn in 2013, or US$7.0 per capita. 95% of the market is imported from abroad; – 50% EU, mainly Germany – 20-30% from Asia, mainly Japan, Korea, China – 20-25% imported from US

9. @ DiscoverForums Medical Device Regulations Recently, MOH has submitted the Draft Decree on importing medical equipment to the Government Office. The Decree, which is expected to come into effect in Jan, 2015, is aimed at tightening the inspections and supervision of medical devices imported into Viet Nam. All devices imported to Viet Nam are required to be new, and importers needed a license to operate in the field. 1Circular 24/2011/TT-BYT: Circular guide to the import of brand new medical devices http://asemconnect vietnam.gov.vn/law detail.aspx?lawid=1 969

10. @ DiscoverForums Opportunities Pharmaceutical: specialized medicines, in particular for cardiovascular, diabetes, and liver cancer. Medical devices: liver cancer, diabetes, orthopedics, and cardiovascular diseases. Strong areas of growth in operating theaters, emergency equipment, sterilizing equipment, patient monitoring and imaging diagnostic equipment. International aid/development projects funded by the World Bank and Asia Development Bank

11. @ DiscoverForums Barriers Old construction and overcrowded Hospitals in major cities do not have the capacity to serve both local patients and those from other provinces. Outdated medical equipment in public hospitals. Many hospitals lack sufficient equipment for surgery and intensive care units. Lack of budget Vietnamese public hospitals rely largely on State budget to upgrade their facilities, equipment and services. The total budget for the health sector has increased, but it is still too low to meet the demands in the system. A shortage of qualified medical staff is common in many hospitals. Wages are relatively low ($100/month) Regulations can be unclear and are frequently implemented on a case-by-case basis. Drug approval times often vary. Without the right connections, long delays are typical.

12. @ DiscoverForums Contacts U.S. Consulate General in Ho Chi Minh City Melissa.McInnis@trade.gov Le.Anh@trade.gov U.S. Embassy in Hanoi Tuyet.Trees@trade.gov