PENANG is on the right path towards becoming the region’s Medtech Hub, according to Chief Minister Chow Kon Yeow.
Speaking at the 35th-anniversary dinner of the Association of Malaysian Medical Industries (AMMI) at G Hotel Gurney in George Town tonight, Chow highlighted that six of the top 30 global medical technology companies have already established manufacturing footprints in Penang.
“Many of these companies are producing higher value-added products, including scientific instruments, medical electrodes, catheters, surgical equipment, orthopaedic instrumentation, and programmable devices such as pacemakers and defibrillators,” Chow said.
“With the highest concentration of MedTech companies in Malaysia and Southeast Asia, Penang is poised to strengthen its position as a highly attractive location for its infrastructure availability and ecosystem that meets the demands of the MedTech industry.
“But beyond infrastructure and ecosystem advantages, Penang’s MedTech sector is expected to continue its growth this year and in the years to come,” Chow said.
According to the Asian Insiders Market Report, Malaysia’s medical devices industry is predicted to grow at a compound annual growth rate of 7-9% between 2024 and 2028. This growth, driven by both domestic and global demand, is expected to benefit Malaysia and, in particular, Penang.
With rising demand from key global markets such as China, Japan, and the United States, global annual sales of medical devices are forecasted to grow by over 5% per year. As a result, exports from Penang and Malaysia are expected to increase.
Chow also noted that medical tourism continues to be a significant growth driver since the pandemic.
“In the last six months, Penang attracted 214,100 foreign patients and generated RM456 million in revenue. This, in turn, has spurred an increase in private medical facilities, with 17 established in the state to date,” he said.
While Penang is widely known as the ‘Silicon Valley of the East’ for its strength in electrical and electronics (E&E) industries, Chow described the medical devices sector as Penang’s ‘silent grower’.
“From 2018 to 2023, Penang accounted for 45% (or RM6 billion) of Malaysia’s scientific and measuring equipment, including medical devices, in terms of approved manufacturing investments,” he stated.
The state government will continue to focus on ensuring sustained growth in the MedTech industry, particularly through talent development and infrastructure support. Chow assured investors that the state government, through agencies such as InvestPenang, Penang Development Corporation, and with the support of MIDA, remains committed to providing unwavering support.
Also present were Andy Lee Kuan Min, chairman of AMMI; Dr Muralitharan Paramasua, chief executive of Medical Device Authority Malaysia; and Umarani Muniandy, executive director of Malaysian Investment Development Authority (Mida), Datuk Loo Lee Lian, chief executive officer of InvestPenang; AMMI board members and representatives of various government agencies.
In his speech, Lee expressed his gratitude to AMMI members for their dedication, passion, and innovation over the past 35 years, which have driven Malaysia’s medical device industry to new heights. He also thanked Chow and the Penang government for their support in positioning the state as a MedTech manufacturing hub.
Lee acknowledged the contributions of two former AMMI chairmen, Datuk Hitendra Joshi (2012-2018) and Lim Bee Leong (2006-2010), for their instrumental roles in shaping the organisation’s journey as well as the secretariat for its dedicated services.
AMMI also presented a mock cheque for RM50,000 to the Penang TYT Disaster Fund, with Chief Minister Chow Kon Yeow receiving it on behalf of the Fund.
Later in the celebration, AMMI presented appreciation and recognition awards to individuals who played key roles in its success, marking the third year of the AMMI ESG awards.
Story by K.H. Ong
Pix by Muhamad Amir Irsyad Omar
Video by Siti Nuratikah Rahmat