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For cost reductions in production, global sourcing and other keywords, manufacturers of medical products automatically look to Asian countries, such as China in particular. However, the management of production in the Far East is fraught with risks and inefficiencies. Especially with high value commodities, most of the small components are made in China or the Tiger states.

Rarely, European countries engage in the awareness of producers for outsourcing their development services in countries such as Austria or Switzerland, instead looking abroad to the Far East. As well as local benefits including proximity, linguistics and culture, labour costs are generally 10-20% cheaper than in Germany.

There have been some systems providers established in Austria, covering high-tech products especially, providing all stages from development to industrial production and also offering modular steps as a service. As a result, development costs can be saved and it may also help reduce ‚time-to-market‘.

This area is growing, as shown from 2010 to 2011 where Austria’s medical products exports to Germany rose to EUR 263.8 million, a 17.4% increase from 2010 (EUR 217 million). 

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