Association Formed to Represent Device Firms in Asia-Pacific

When medical device companies look for new areas of market growth, most heads turn eastward. It’s no surprise that the Asia-Pacific region is poised to provide increasing opportunity to medical technology firms thanks to a growing middle class, improving healthcare infrastructures and, as a result, a rise in high-end technology use.

While Asia doesn’t always make the most sense strictly as a manufacturing center to serve global needs, the latest drumbeat of “Asia for Asia” continues to resonate. Thus, the many large medical device companies with pockets deep enough to pursue a global footprint are doing just that to be in the middle of where the action is going to be.

Along those lines, on April 24, some of the largest medical technology companies in the industry joined forces to form the Asia Pacific Medical Technology Association (APACMed). We’re all familiar with U.S.-based trade groups such as the Advanced Medical Technology Association (AdvaMed) and the Medical Device Manufacturers Association. And, of course, trade associations have played a role internationally for years, with groups such as Eucomed in Europe and MEDEC in Canada serving as long-time players in global medtech advocacy.

But this is a first for Asia.

Based in Singapore, APACMed, according to its newly named leadership, was created to “improve access to high-quality healthcare for patients by collaborating with governments, policy makers and other stakeholders to create innovative solutions and jointly shape the future of healthcare in the region.”

Member companies so far include industry heavyweights Abbott Laboratories Inc., Baxter International Inc., B. Braun, Becton Dickinson and Co., Boston Scientific Corp., Cardinal Health Inc., GE Healthcare, Johnson & Johnson, Medtronic plc, Philips Healthcare, Siemens Healthcare, Stryker Corp. and Zimmer Holdings Inc.

The association will be involved in regulatory issues, ethical business standards (creating a code of conduct) and compliance, and will help promote innovation and talent development in the region.

APACMed has appointed Fredrik Nyberg as CEO. Nyberg is an expert on the medical device industry in Asia, having worked in the region for more than 25 years, most recently serving as senior director of consulting, Asia-Pacific, for Quintiles Consulting.
Nyberg recently took some time to chat about his new role and the group’s current and future plans.

ODT: How long has APACMed been in the planning stages? How many people do you have on staff, and how do you plan to build resources? Will you have any satellite offices outside of Singapore?
Nyberg: Our founding members began planning about one and a half to two years ago. Some had a positive experience working with Eucomed and AdvaMed, but realized that there was no similar regional association covering our very diverse and fragmented part of the world. The secretariat is currently very small—we will be less than a half dozen [people on staff] by year’s end. This may grow to 15-20 full-time staff in three years. We are not ruling out satellite offices in other parts of Asia-Pacific in the future. But as we are extending our membership to national medical technology associations in the region such as the Medical Technology Association of Australia and NatHealth in India, they, in effect, become our local partners on the ground in those territories.
Although our staff is currently small, we have set up five very active functional committees that are led by some of the most senior executives in our member organizations. The five committees cover legal/ethics, regulatory affairs/quality assurance, government affairs and policy, communications, and medical/clinical affairs.

ODT: What do you see as the main reasons that now was the right time to form APACMed?
Nyberg: Healthcare is at an inflection point in Asia-Pacific. Demand for quality healthcare is soaring, driven by significant shifts in patient demographics—aging population, growing middle class, rising chronic disease burden. At the same time, supply is not meeting demand. Sixty percent of the world’s population resides in Asia-Pacific. The unmet healthcare needs of the majority of the population are vast. Hospital infrastructure build is not keeping up with demand; many countries have severe shortages of doctors; approval times for new therapies and technologies are getting longer and regulatory processes are still poorly harmonized across the region. The solution, as we see it, lies in innovation and collaboration—innovation in medical technologies that, for example, support an aging population at home without putting excessive strain on current hospital infrastructure or dramatically reduce the time patients remain in hospital after surgery, or that reduce hospital infections and improve patient safety. Collaboration occurs between patients, policy-makers, payers, practitioners, healthcare institutions, as well as the industry. For example, in order to increase focus on prevention and early health screening, give patients access to new technologies; think holistically about healthcare costs, increase education and training of nurses and physicians; and work together for greater productivity and quality of care.

ODT: What has been the primary response so far?
Nyberg: The most common response is “what took you so long?” Everyone we talk to—from Western multinationals, to large Asian medtech players to SMEs (small and medium enterprises) and startups in the region—is very positive and supportive.

ODT: What will be your “must do” agenda items from day one?
Nyberg: We have two immediate priorities. The first is to build visibility of the association, of the industry and of the benefits of medical technologies that are still often confused with pharmaceuticals in this part of the world. The second is to build credibility by driving specific initiatives such as a regional code of conduct and engaging actively in regulatory and public policy issues in Asia-Pacific.