Business Development Asia LLC
South East Asian Health News
ISSUE 8, AUGUST 1998
THAILAND
Ansell, a division of Pacific Dunlop Ltd, will acquire the Thailand-based Suretex Group for US$31m. Ansell is the world's largest marketer and manufacturer of latex and synthetic barrier protective products. Suretex has annual revenues of US$31m and manufactures condoms and medical examination gloves in southern Thailand and in Bangalore, India. The company also has a condom packing facility in South Africa. In the past six months Ansell has invested in production plants in Malaysia, Sri Lanka and Thailand. (July 30th 1998)Bangkok General Hospital is reducing in-patient room fees by 30% until the end of 1998. The price reduction is an extension of the “Thais Help Thais” project, in which patients have received 30% reductions on some medical expenses since earlier this year. (July 3rd 1998)
The Bayer Group of Germany recorded a sales increase in Thailand of 40% in H1 1998 to a total of Bht5bn (US$122m). The healthcare business, including pharmaceutical, diagnostic and consumer products, did not fare well and recorded a 20% decrease in sales. Bayer is negotiating with local pharmaceutical companies to strengthen and expand its business in Thailand. (July 27th 1998)
Bumrungrad Hospital has reported a sharp rise in the number of
non-Thai patients, accounting for 25% of the total in the first six months
of 1998. Thailand’s healthcare services have become more popular
with foreigners because of cheaper prices given the weakened Baht.
Many patients from Singapore, Burma, Vietnam, Bangladesh and Nepal have
used healthcare services in Bangkok. (July 16th 1998)
Eisai (Thailand), a Japanese pharmaceutical company, expects
a 40% drop in drug sales to Thai public hospitals due to Government pressure
on state hospitals to use domestic generic drugs rather than brand-name
imports. To compensate for the loss of revenues, Eisai will focus
marketing on sales to private hospitals. (July 15th 1998)
Hoechst Marion Roussel (Thailand) Ltd (HMRT), the pharmaceutical manufacturer, saw a 20% decrease in revenues to Bht400m (US$9.8m) in H1 1998. HMRT currently holds 4% of the Thai drug market. SE Asian medicine production costs have increased by 50%-60% since July 1997, but prices have been increased by only 24%. To boost sales, HMRT launched a children's oral antibiotic tablet. (July 30th 1998)
Janssen Pharmaceutica (Thailand), a leading pharmaceutical company and subsidiary of Belgium-based Janssen Pharmaceutica, expects revenues to decline 30% by the end of 1998. H1 1998 earnings from the hospital market, the main source of revenues, have contracted by 24% to Bht4.5bn (US$110m) while sales of OTC products fell by 5.3% to Bht1.8bn (US$44m). Janssen’s total revenues declined by 12% relative to the same period last year. (July 16th 1998)
The Thai Medical Council is considering changing the current policy for doctors’ medical licenses. Instead of receiving a medical license for life, the council is proposing that medical licenses be renewed every three years. The Council states that doctors should have a minimum of 50 hours of training each year to keep up with medical technology. The system would be similar to the Continuing Medical Education (CME) programs already established in many countries. (August 3rd 1998)
Nu Life International of Hong Kong is likely to choose Thailand as its skin-care production base for SE Asia. The company now imports all Nu Life nutritional products from the US for sale in Thailand. The company anticipates setting up a skin-care product factory in Thailand when monthly sales reach Bht300m (US$7.3m). (July 23rd 1998)
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