Executive Summary
Market Entry
Current Market Trends
Best Prospects
Market Size
Main Competitors
Current Demand
Registration Process
Reimbursement
Barriers
Procurement & Tenders
Local Associations
Government Links
Trade Events
Frequently Asked Questions
U.S. Commercial Service Contact Information
Tab Options
Executive Summary
Market Entry
Current Market Trends
Best Prospects
Market Size
Main Competitors
Current Demand
Registration Process
Reimbursement
Barriers
Procurement & Tenders
Local Associations
Government Links
Trade Events
Frequently Asked Questions
U.S. Commercial Service Contact Information
Executive Summary
Singapore ranks 12th in the 2021 World Index of Healthcare Innovation and provides universal coverage for its citizens with multiple layers of care. Among its Southeast Asian peers, it spends the most annually on healthcare on a per capita basis. This is expected to rise faster than GDP given the country’s aging population and changes in demographics.
According to the Ministry of Health, Singapore’s National Health Expenditure could increase to $43 billion USD in 2030. Healthcare spending, comprising both public and private healthcare expenditure is expected to account for 5.9% of GDP and could rise to 9.0%.
Demand for state-of-the-art medical technologies is also expected to grow as Singapore strengthens its reputation as the region’s healthcare hub and center for healthcare excellence offering first class healthcare delivery systems and facilities to both its resident population and the international patient market. Also, with a rapidly aging population, efforts are being made to focus on preventive care and as such, there is a trend towards health screening, early diagnosis, close monitoring and follow-up.
Singapore has strong fundamentals in healthcare excellence and this emphasis on quality care has enabled the country to achieve high life expectancies, fourth in the world, and the lowest infant mortality in the world. Its challenge is that it has one of the fastest ageing populations in Asia, which will translate to a greater demand for specialized elderly care amid rising costs.
Singapore serves as a showcase for healthcare delivery and medical technology and is considered the gateway to the regional economies of Southeast Asia.
Market Entry
U.S. companies who are new to the market and interested in exporting to Singapore may consider appointing a local distributor to represent their company’s product and services. Given the small market size of the island state, most potential distributors would request exclusive rights to sell the product. They will also likely ask for distribution rights for the regional Southeast Asia countries as Singapore serves as a gateway into the region. U.S. exporters of medical equipment should evaluate the suitability of the distributor based on the company’s contacts in the market, their product range and whether their products complement that of the U.S. firm. As sales in the local market increase, the U.S. firm can look into setting up an ongoing presence in Singapore much like how some large MNCs have set up regional offices in Singapore. This brings the U.S. firm closer to its customers, demonstrates its commitment to the region and allows for prompt and enhanced customer service.
Current Market Trends
Singapore’s public hospitals and specialty centers engage in clinical research with the many pharmaceutical, biotechnology and medical technology companies based in Singapore. Singapore’s goal is to become Asia’s premier healthcare hub via the attraction of foreign patients. There is also an emphasis towards a healthy lifestyle and a focus on preventive care. As the population ages, Singapore will experience what is known as “hyper-aging” within the next twenty years. The demand for geriatric medicine and rehabilitation medicine is expected to rise.
Doctors in Singapore are also emphasizing ethical and professional standards, and it is expected that every major hospital in Singapore will have attained the widely recognized American mark of quality health care. Already, the majority of private and public sector hospitals have been accredited by the Joint Commission International (JCI), the overseas arm of the United States’ main hospital accreditation agency.
Best Prospects
Approximately 8% of the population is diabetic and the Ministry of Health is looking to decrease this and has dedicated resources to combat it. There are currently more than 400,000 diabetics, costing Singapore over $740 million yearly. This is expected to rise to $1.8 billion if the trend is not stopped. A holistic approach encompassing regular health screenings, lifestyle changes and exercise will be adopted.Opportunities therefore exist for U.S. suppliers of health and wellness products.
The Health Ministry’s mandate is to deliver affordable healthcare, ensure good medical outcomes, reduce illness and promote good health, and ensure that the country is resilient against communicable disease threats and civil emergencies. A $5.6 billion USD budget has been allocated to address infrastructure concerns in the short and long term, as well as to support healthcare provisions and subsidies for the poor. The three key areas of focus are healthcare infrastructure, healthcare delivery, and managing the associated costs and issues related to an aging population. This budget also includes larger subsidies for surgical implants, the treatment and management of chronic diseases, as well as funding programs to promote healthy lifestyle and active-aging programs.
Market Size
Healthcare spending (including investment):
$11.1 billion
… as percent of GDP:
2.2%
… of which spent on inpatient services (including long-term care) :
Data not available
… of which spent on pharmaceuticals/consumables:
Data not available
… of which spent on investments/ development :
$1.4 billion
… of which spent on outpatient services:
Data not available
Number of hospitals & Specialty Centers:
27
…Public:
18 (9 acute public hospitals, 1 psychiatric hospital, 1 not-for-profit)
…Private:
7
Number of hospital beds:
12,229
… available beds per capita:
…of which in general hospitals:
12,290
…of which in specialized clinics and rehabilitation centers:
16,760
Number of surgical procedures:
Data not available
…of which [top procedure]:
Data not available
…of which [second highest procedure]:
Data not available
Physicians:
14,279
…of which
Specialists : 5,881. Public Sector: 3,864; Private: 1,682; Not in Active Practice: 335
Dentists:
2,475 (Specialist dentists: 368)
Demographics
Population:
5.68 million
Life expectancy men/women:
Men (81.5 years) / Women (86.1 years)
Infant mortality:
18 per 1000 live-births
Percent of population older than 65:
16.0%
…projection, 2030:
28%
Annual deaths :
22,054
…caused by [highest disease burden] :
Cancer (Male: Colo-rectum, Lung, Prostate / Female: Breast, Colo-rectum, Corpus Uteri)
…caused by [second highest]:
Pneumonia / Ischemic Heart Diseases, Stroke
Prevalence of [fastest growing disease burden]:
Ischemic Heart Disease, Diabetes, Hypertension
Source: Ministry of Health Singapore, Singapore Statistics
Main Competitors
Major competitors of the U.S. are medical devices from Germany, other European economies, Japan, and Australia. Local production by multinational corporations and indigenous Singaporean companies is primarily for export or contract manufacturing.
Current Demand
Singapore’s healthcare services are comparable to those of other industrialized nations. The Singapore government is focused on moving up the value chain by building up services that assist research and healthcare delivery in Singapore and the region. A total of 23 hospitals and six specialty centers provide a complete spectrum of clinical services from basic health screening to complex quaternary care. The Joint Commission International (JCI) has accredited 23 Singapore hospitals and healthcare facilities. Prominent international healthcare and research organizations such as the American Association for Cancer Research, Duke University, Healthcare Information and Management Systems Society, and JCI have established a presence in Singapore. These research institutes work with scientists here to accelerate drug discovery and develop therapies for unmet healthcare needs. Singapore has also embarked on an ambitious ten-year study to use genomic data to improve public health. PRECISE which stands for Precision Health Research Singapore, aims to generate 100,000 genomes comprising Singapore’s major ethnic groups and use the results to tailor customized healthcare for the population.
Registration Process
Medical devices are classified under four risk classes. All medical devices, except Class A devices, must be registered with the Singapore Health Sciences Authority prior to placing them on the Singapore market. Only Class A devices supplied in a non-sterile state are exempted. Classification of medical devices will depend on a series of factors, including how long the device is intended to be in use and whether the device is invasive, implantable, active or if it contains a drug or biologic component. The classification rules are adopted from guidance developed by the Global Harmonization Task Force. More information can be found on: http://www.hsa.gov.sg/content/hsa/en/Health_Products_Regulation/Medical_Devices/Overview.html
Reimbursement
Singapore offers universal healthcare coverage with a financing system based on twin philosophies of individual responsibility and affordable healthcare. The subsidized, multi-layered government-operated system has existed for many years. Large government subsidies are available to support patients with acute care needs while private and government administered medical insurance is also available.
Individuals each have a “Medisave” account, which is a national medical savings plan where individuals put aside part of their income to meet their future personal or immediate family’s hospitalization, day surgery or certain outpatient expenses. This can also be used to purchase health insurance plans.
Barriers
There are no barriers to entry as Singapore is an open economy and a firm believer in keeping trade open. There are no custom duties on medical devices. A 7.0% goods and services tax (GST) is imposed on all goods sold and services provided, locally. Imports are subject to GST, but payments are refundable on re-exports. The GST will be raised to 8% on January 1, 2023.
Procurement & Tenders
Singapore is a signatory to the WTO Agreement on Government Procurement. The U.S.-Singapore FTA provides increased access for U.S. firms to Singapore’s central government procurement. U.S. firms generally find Singapore to be a receptive and open market. The Singapore government procurement system is considered by many American firms to be fair and transparent. Government procurement regulations are contained in Instruction Manual 3, available from the Singapore Ministry of Finance. The Singapore Government also advertises its tenders on its website at www.gebiz.gov.sg .
Government Links
Singapore Ministry of Health (MOH) http://www.moh.gov.sg
MOH Office for Healthcare Transformation (MOHT) https://www.moht.com.sg
Health Sciences Authority (HSA) http://www.hsa.gov.sg
Health Promotion Board (HPB) http://www.hpb.gov.sg
Singapore Economic Development Board (SEDB) https://www.edb.gov.sg
Healthcare Procurement : https://www.gebiz.gov.sg/ Government Health Plans : https://www.ihis.com.sg/ https://www.moh.gov.sg/content/moh_web/home.html
Trade Events
Name of event: IDEM http://www.idem-singapore.com/
Description: IDEM Singapore is organized by Koelnmesse GmbH, of Cologne, Germany, in conjunction with the Singapore Dental Association, the congress organizer. Into its 11th staging, IDEM is the leading dental trade fair in the Asia-Pacific region. More than 230 exhibitors and over 6,500 visitors from some 56 countries are expected to attend. The show features furnishings and equipment for dental practice/dental laboratory. Instruments and tools for dentists and dental technicians, materials for dental practice use/dental laboratory use, pharmaceuticals, detergents, disinfectants, deodorants, sterilization products and other agents for protections against infection, teeth and veneering materials, restorative, prosthetic and orthodontic accessory parts.
Name of event: Medical Fair 2024 https://www.medicalfair-asia.com/
Description: Medical Fair Asia is one of Asia’s leading and most established trade fairs focused on equipment and supplies for hospital, diagnostic, pharmaceutical, medical and rehabilitation sectors. It provides the ideal international platform for some of the industry’s best suppliers to showcase product innovations.
Frequently Asked Questions
1. Does a U.S. company need to change the packaging and is English labeling acceptable? Does the U.S. company need to translate the labeling to the local language?
English is the language of commerce and business in Singapore. As such, there is no need to change the packaging or labeling as the standard English labeling is acceptable. That said, companies still need to adhere to any other labeling requirements under Singaporean regulations.
2. Singapore is part of ASEAN (Association of Southeast Asian Nations); can a U.S. company apply for registration in one ASEAN country and have that apply to all other ASEAN countries?
Registration in one ASEAN market such as Singapore cannot be used for the next and subsequent markets. Separate applications must be made for each country that the U.S. company wishes to enter and have access to.
U.S. Commercial Service Contact Information
Name: Luanne TheseiraLuanne.Theseira@trade.gov
