The health industry has become a priority investment sector in the midst of the global pandemic. Indonesia needs to reduce its dependence on imported products. Thus, the health industry has become one of the priority investment sectors.
The current global health trend is pushing the growth of the healthcare industry due to the pandemic, changing customer demand, shifting focus on cost control, the discovery of new therapies, as well as digital and telemedicine innovation. The health industry has great potential in Indonesia as middle-class households’ income has increased and universal healthcare is increasingly encouraged. Supporting the development, the industry will increase the variety of exported products and reduce exports of raw materials.
Indonesia's trade deficit in medical devices increased almost fourfold from US$161 million in 2013 to US$531 million in 2020. In fact, over the last two years, Indonesia’s imports have climbed by more than 10 percent to reach US$703 million in 2020. Meanwhile, exports have grown by just around three percent to five percent in the last three years. In fact, they were pegged at just US$171 million in 2020.
Indonesia relies heavily on imports of advanced medical devices, while its exported products are limited despite the country having all the necessary production resources.
(source: Antara news)