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Local makers of hospital furniture grabbing 40pc of market share

Saturday, 8 May 2010


Monira Munni
Locally-made specialised steel furniture for hospital use has grabbed a significant portion of the market share of the growing health service in the country.
The manufacturers are now supplying at least 40 per cent, which is worth Tk 500 million, of the total demand, industry people said.
Manufacturers are now producing more than 50 types of hospital furniture ranging from waiting room chairs to mechanical beds and saline stands to intensive care unit (ICU) beds, they added.
The demand for local products is growing at a rate of 15 to 20 per cent annually. There are around 20 small, medium and large furniture manufacturers in the market with Otobi, which started making hospital furniture in 1990, leading the group.
However, prominent hospitals and clinics still prefer imported furniture as local furniture manufacturers are yet to improve their product quality, they said.
"The customers are attracted to quality and affordability," Ismail Hossain, manager of hospital furniture unit of Otobi told the FE Thursday.
Sales of local hospital furniture are growing due to the increase in the number of hospitals and clinics across the country, he said adding the market is growing at a rate of 15 per cent annually.
Hospitals can now buy furniture from the local market at competitive prices, as import costs are staggering and after-sales service non-existent.
"Buyers get after-sales services for at least three years in case of local furniture, while imported product makers can hardly provide such services," he added.
Otobi's medical furniture includes various types of beds, trolleys, cots, bowl stands, buckets, wheel chairs, over-bed tables, saline stands, isolation screens, bedside lockers, bedside cabinets, medicine cupboards and revolving stools.
The company sold hospital furniture worth Tk 100 to Tk 150 million in 2009 and its major clients are government hospitals and private clinics, Mr Hossain said.
Otobi exports hospital furniture to different states of India and plans to expand its export domain.
Sunjit Roy, assistant manager of Navana Furniture, said their sales are satisfactory all year round.
"Some hospitals and clinics established in recent years and cannot afford to import furniture are our major clients," he said.
The quality and look of our furniture are better than the Indian and Chinese products, he said.
Navana, which makes beds, trolleys, isolation screens, carts, stretchers, lockers, cabinets, medicine cupboards, saline stands, waiting room chairs and cots, sold products worth around Tk 40 million last year.
Apart from brands like Otobi and Navana, medium-scale manufacturers have joined the race to meet the growing demand for hospital and surgical equipment.
They manufacture products mainly for different pathological laboratories and low-cost clinics producing waiting room chairs, trolleys, lockers, beds and stools.
But the manufacturers face problem due to the high price of raw materials such as steel and unavailability of accessories in the local market, industry people said.
"If the government provides us raw materials at reasonable prices, we will be able to relegate the Chinese products in the market," they added.