2012 Pre-budget Consultation from MedecMEDEC, the national association representing the Canadian medical device, diagnostic and technology industry, referred to in this document as the medical device and technology industry, recommends that the Government of Canada to invest in policies and processes that will enable the innovative medical device industry to thrive in Canada and thereby stimulate the knowledge economy while supporting the sustainability of health care through innovation. Specifically we are recommending:
1. Engage the Medical Device and Technology Industry in developing a National Medical Device StrategyVarious provinces have launched Life Sciences Commercialization Strategies. For example in April 2010 Ontario‘s strategy combined existing and new life sciences initiatives into a consolidated plan. Similarly, Quebec announced their Life Sciences Commercialization Strategy in July 2010. These strategies are intended to help position each province as a leader within the life sciences field and ensure that cutting-edge healthcare discoveries and products occur in that jurisdiction — keeping high-value jobs and economic growth in the respective provinces. A component of these provincial life science strategies is the medical device and technology industry. The medical device and technology industry in Canada is comprised of multinational enterprises (MNEs), small and medium enterprises (SMEs) and local Canadian companies. It is estimated that there are more than1000 medical device and technology companies in Canada; the vast majority are small, local, Canadian-owned companies employing over 35,000 Canadians in close to 1500 corporate facilities with sales of nearly $7 billion per annum. Today, many life-threatening diseases and debilitating conditions no longer pose the threat they once did in part because medical device and technology companies are changing the way health care is delivered. We are at a time of unprecedented promise in the realm of medical technology. Through earlier and more accurate diagnosis, less invasive procedures and improved treatment options, medical technology is transforming health care while dramatically improving and enhancing the lives and productivity of Canadians and patients worldwide. Significant gains in patient outcomes and improved health care system efficiencies over the long term are achieved with the safe and proven technology solutions offered by today's medical technology companies. Medical technology contributes to the current and future goals of our federal and provincial governments, health care providers and funding decision makers to: decrease wait times; increase patient access; reduce healthcare costs; transform healthcare delivery; and, treat an ever increasing patient population. These achievements are not always fully understood or recognized in Canada. Transforming Health Through Medical Technology is a compilation of innovative health technologies highlighting the remarkable stories of Canadian patients, researchers, physicians and other health care providers. The common thread among these stories is the value and role of medical technologies in improving the outcomes and quality of life for individual Canadians[1]. Furthermore, all stakeholders are accountable for the success or failure of access to appropriate medical devices - a fundamental factor in improving the health of populations[2]. MEDEC believes that Canada would benefit from a federally guided national medical device and technology strategy based on regional centres of excellence with a focus on a region’s specific area of expertise or strength rather than having each jurisdiction compete for all specialty areas. A targeted approach to support local expertise through a nationally supported strategy would incentivize investment in Canada in an efficient manner. A medical device and technology strategy would support long-term health system goals across the country. A number of recent publications [3],[4],[5] on medical technology innovation support the need and value of a medical device and technology strategy to use innovation to support health system sustainability. Thus, a national strategy should also be considered as part of the ongoing Federal, Provincial and Territorial Health Accord renewal discussions. Recommendation 1: MEDEC recommends that the 2012 Federal Budget include a process to engage the medical device and technology industry through MEDEC which would leverage the industry’s infrastructure, expertise and corporate programs in the development of a national medical device and technology strategy. 2. Specific and targeted Industry Canada support for an accelerated innovation strategyBuilding on recommendation 1, there continues to be a need for accelerated support for a broader strategic innovation approach with a particular focus on Canadian based SMEs. Currently Australia, Israel, the United Kingdom and other nations provide support to ensure that start-ups and small company’s research, develop and commercialise their innovative medical technology within the boundaries of their respective nation. These incentives support domestic economic growth and create jobs. In an April 2011 report by the Medical Devices Innovation Institute (MDI²) the following challenges were noted as urgent to take advantage of Canadian company innovation:
In addition, the report discussed establishing a knowledge based economy is seen as the way of the future for Canada and other advanced nations. The medical devices sector represents just such a knowledge based economy and provides a niche well suited to Canada’s core competencies and global reputation. This sector offers a wide range of social and economic benefits, including:
Given the current trend of increasing health care costs, including the rising labour costs which are approximately 80% of a hospital’s budget, moving towards a more sustainable health system will require increasing our reliance on new innovative technologies and devices to utilize the health care labour force more efficiently and deliver health care differently. Health system sustainability requires taking advantage of innovation benefits through leadership, cultural change and financial incentives. The report by the Ivey Center for Health Innovation and Leadership identified key priority areas where greater focus was needed and where the greatest impact on health system innovation could be found. The findings included:
Recommendation 2: MEDEC recommends specific and targeted Industry Canada support for an accelerated innovation strategy that acknowledges Canadian small to medium enterprises (SMEs) and small Canadian start up device companies to nurture medical technology innovation. Stephen Dibert President & CEO MEDEC - Canada’s Medical Technology Companies 405 The West Mall, Suite 900 Toronto, Ontario M9C 5J1 t: 416.620.1915 f: 416.620.1595 toll free:1-866-58-MEDEC [1] Transforming Health Through Medical Technology, Value of Medical Technology, January 2009, http://www.medec.org/en/content/value-technology [2] Global Forum on Medical Devices, version 8 - April 2011, http://whqlibdoc.who.int/hq/2011/WHO_HSS_EHT_DIM_11.11_eng.pdf [3] Medical Devices Challenges and Opportunities for Enhancing the Health and Wealth of Canadians, Medical Devices Innovation Institute (MDI²), April 2011, http://ocri.ca/files/2011/06/2010-Final-Medical-Devices-Challenges-and-Opportunities-Report.pdf [4] Innovation Takes Leadership, Opportunities & Challenges for Canada’s Health Care System, Ivey Center for Health Innovation and Leadership, 2011, http://www.ivey.uwo.ca/ichil/Emails/pdf/White-Paper.pdf [5] Innovation Procurement in Health Care, A compelling Opportunity, Conference Board of Canada July 2011, http://www.conferenceboard.ca/documents.aspx?did=4318 |