Siemens Romania targets twofold increase in medical equipment business

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Siemens Romania expects its medical equipment business to double from 16 million euro in 2007 to 32-33 million euro this year.
 
Siemens local representatives estimate that the medical equipment market will rise 30 pct this year.
 
In 2007 Siemens SRL business, that also includes operations in the energy and transportation sectors, stood at 70 million euro. Adding the business directly performed by Siemens Austria on the local market, the total turnover hit 340 million euro.
 
The growth in the company’s local business relied especially on the steady demand from the private sector, following the enhanced interest for investments in the medical sector. In 2007, Siemens Medical Solutions was the one to fully equip the imagery lab of the St. Pantelimon Hospital in Bucharest, in a project worth some 500,000 euro.
 
According to local Siemens officials, investors in medical equipment mainly finance their projects by leasing, over a five to six year period, and investments usually pay back in the first two years of activity, so that in the fifth year investors are already concerned to replace their equipment and sell the old one, underscored the representatives of the medical devices division.
 
They also say that the experience of other states after EU accession shows that the medical equipment market will witness a boom, growing by over 30 pct a year until 2011, after which a slowdown is expected.
 
According to an Espicom Business Intelligence assessment, the Romanian medical equipment market is worth 191 million euro.
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