T H A I L A N D : T O WA R D S B E C O M I N G N O . 1 M E D I C A L H U B O F A S I A
Growing Domestic
Pharmaceutical Market
World-class Medical Facilities across
the Country
T
hailand is one of the strongest-performing pharmaceutical mar-
kets in the Asia-Pacific region. With a positive economic forecast,
the market is expected to grow at a compound annual growth rate
of 6.2%. By 2020, the value of the pharmaceutical industry is expect-
ed to have doubled. This is primarily due to the increasing demand
for pharmaceuticals as a result of Thailand’s aging population. Oth-
er contributing factors include Thailand’s Universal Coverage Scheme
(UCS), and the continued growth of medical tourism. The pharma-
ceutical market now accounts for almost 20% of all domestic health
expenditures, with the majority of this being distributed through
Thailand’s public and private hospital system.
Thailand’s Pharmaceutical Spending (% of GDP)
2.1
2010
2.4 2.5
2011 2012
2.8 2.9
2013 2014
3
3.1
T
o meet the demand for medical services
from both within and outside the country, Thailand offers world-class
medical facilities and takes pride in having the largest number of private
hospitals anywhere in Asia. In addition, many hospitals and medical
centers have accreditation from the Joint Commission International
(JCI), the gold standard
when it comes to global healthcare. As of December 2018, there are
64 organizations in Thailand that are JCI- accredited, spanning
across every region of the country. Provinces in which JCI-accred-
ited facilities are located include Bangkok, Nakhon Sawan, Chiang Mai,
Chiang Rai, Khon Kaen, Udon Thani, and Phuket, among others.
3.2
Example of Hospitals with JCI-Accreditation
BANGKOK
2015
2016
2017
CHIANG MAI
NAKHON SAWAN
Source: Ministry of Foreign Affairs, Krungsri Research (September 2018), and
Office of the National Economics and Social Development Board
KHON KAEN
Top-quality Medical Care at
Reasonable Prices
PHUKET
T
UDON THANI
he number of medical tourists coming to Thailand has been
increasing because of:
•
•
•
•
Reasonable costs of medical treatment
High-quality medical and healthcare services
Highly developed tourism infrastructure
Global reputation for attentive and world-class services
As a result of the high quality medical care and affordable price of
medical treatment, Thailand is now seen as a top medical tourism
destination within Asia.
According to the Medical Tourism Index (MTI), an index measured
to assess the attractiveness of a country as a medical tourist desti-
nation, Thailand is ranked 18th overall and ranked 6th globally in the
category of medical tourism industry.
Source: Ministry of Pubic Health
Thailand’s Pharmaceutical Trade
D
espite a large number of domestic manufacturers, Thailand relies
significantly on imports of the pharmaceutical products. According to
Krungsri Research (2017), the country imported pharmaceuticals worth of
2.59 billion USD; 17% of which from China and 13% of which from the
United State of America. This reflects the fact that there is more room for
enterprises wishing to produce and expanding their sales in the Thai mar-
ket. As for the exports, the market is also sizable. Thailand’s export value
stood at 826 million USD, mainly to the neighboring countries.
PRODUCTION
Export
2016 MTI Global Ranking: 18 th
Destination
Environment
Rank: 27th
Medical Tourism
Industry
Rank: 6th
Facilities and
Services
Rank: 13th
Viet Nam
15%
Myanmar
Others
Private
Hospital
20%
20%
Cambodia
Laos Philippines
China
17%
Others
46%
13%
USA
11%
11%
8% 8%
Domestic Use
Over The
Counter
15%
43%
Export Market
826.48 Million USD
SEPTEMBER 2019
IMPORT
Domestic Use
60%
Public Hospital
Domestic Market
Germany
France
India
6%
7%
Import Market
PharMed & HealthCare 9