Growing Renal Therapy Market in Europe

The European renal replacement therapy market for patients with acute renal failure (ARF) is forecast to reach U.S.$226.2 million by 2011, while revenues in the end-stage renal disease (ESRD) therapy market could reach $2.1 billion in 2011, according to a new report from Frost & Sullivan (Palo Alto, CA, USA), an international consulting firm.

Since diabetes is the leading cause of ESRD, the constant increase in the European diabetic population is ensuring the growth of the renal replacement therapy market. Up to 40% of new ESRD patients are the result of diabetes. Patients with type 1 diabetes are 12 times more likely to develop this condition than those with type 2. Of those suffering from type 1, 20% are at risk of suffering from complete kidney failure, while 50% may develop early signs of kidney disease.

One of the key challenges for participants in the European renal replacement therapy market is the high customer-buying power that is resulting in a steep fall in prices. Purchasing groups or consortiums are increasingly negotiating with companies and suppliers to reduce prices. Also, reimbursement is now dictated by the disease rather than by the therapy. This prevents many healthcare providers from recommending certain renal replacement therapies, since the cost would be more than the reimbursement.

Companies need to offer additional service offerings, such as guaranteed "up-time” for dialysis machines, longer-length warrantees, and increased levels of customer service support. Among the various product sectors, the alternative site hemodialysis and ARF therapy display a higher growth potential. While the market for conventional dialysis products is approaching maturity, significant growth possibilities exist for companies willing to develop novel new treatment methods.




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