News & Events

New York, NY USA (October 20, 1997) -- Jack Galiardo, Vice Chairman of Becton Dickinson and Chairman-elect of the Health Industry Manufacturers Association (HIMA), briefed investors on the overall medical devices environment and regulatory issues at the First Annual Credit Suisse First Boston Health Care Conference held here last week.

As a backdrop, he reminded investors that the worldwide market for medical supplies and devices approximated $130 billion in 1996 and is growing around 6% annually. Of this, the U.S. accounted for roughly $55 billion of the total and is growing 7-8% per annum. Emerging markets should continue to grow at 2-4 times the rate of established markets as such countries increasingly devote more resources to health care. He projected that emerging markets could comprise 25% of the $260 billion worldwide market by 2005.

Galiardo also commented on FDA reform, an issue much in the news as a Congressional conference committee works toward passage of a final FDA reform bill. He identified several key reform goals for the industry:

• Maintain a strong FDA so that only safe and effective products reach market
• Improve efficiency since many life-saving devices are available overseas but not in the U.S.
• Faster product approval
• Expand third party reviews since this can meaningfully accelerate the approval process
• Limit scope of FDA review to safety and efficacy since this is its mandate per law
• Foster harmony with international standards as U.S. regulations vary widely from those in Europe and Japan