Canada Clinical Diagnostics Market Analysis

Canada Clinical Diagnostics Market Executive Analysis

Canada's clinical diagnostics is expected to witness significant growth from $3.9 Bn in 2022 to $4.9 Bn in 2030 with a CAGR of 3.1% for the year 2022-30. Canada covers over 95% of the territory of the second-largest country in the world and about 18% of Canadians reside in rural or remote communities. According to CIHI, overall health spending in Canada will amount to about $8,653 per person in 2022, down from a high of 13.8% in 2020. This represents 12.2% of the country's gross domestic product (GDP). According to new estimates, Canada's health spending will reach $331 Bn in 2022.

Types of Clinical Diagnostics Tests

Laboratory Test: The most commonly ordered tests in Canada include community tests- Complete Blood Count (CBC), creatinine, Thyroid Stimulating Hormone (TSH), etc, inpatient tests- CBC, electrolyte panel, creatinine, etc, and emergency tests- CBC, chem panel 7, liver panel, etc.

Imaging Test: Imaging tests in Canada include X-rays, CT (Computed Tomography) scans, MRI (Magnetic Resonance Imaging) scans Ultrasound, PET (Positron Emission Tomography) scans, Nuclear imaging & mammograms.

Molecular Diagnostics: Molecular diagnostic tests are laboratory tests that employ molecular biology techniques to detect particular genetic material (DNA or RNA) or protein or other molecule linked with a condition or disorder from the sample of tissue, blood, or other body fluids. Molecular diagnostics methods include Polymerase chain reaction (PCR), real-time RT-PCR, and Next-generation sequencing (NGS).

Point-of-care (POC) molecular diagnostics refers to portable tools, tests, and kits that are used to identify and classify diseases in human samples such as feces, blood, serum, and throat swabs. POC testing is quickly gaining acceptance because of its ease of use, comfort, quick turnaround time, and potential to enhance patient outcomes.

Major players providing molecular diagnostics in Canada- LifeLabs, Dynacare, Genecept Assay.

Point of Care Testing

Point-of-care testing (POCT) describes diagnostic procedures carried out by a medical professional or other qualified personnel at or close to the patient's location. This can include tests carried out by patients independently in a community or at home (patient self-testing). Compared to conventional testing, it might be more advantageous because it allows for greater staff and patient mobility, portability between urban and rural settings, and quick turnaround for test results. These elements might hasten clinical judgment and patient management while boosting effectiveness. Canadian states and territories are looking for ways to implement POCT in the delivery of healthcare in a way that is appropriate and efficient in view of this expansion. There are still loopholes in some topics, including the cost-effectiveness, quality, and reliability of POCT as well as the effects of POCT adoption on the healthcare system. Key POCT area includes blood glucose monitoring for diabetes, pregnancy testing, HIV-I, HIV-2 antibody test, etc.

Key Companies in POCT- Abbott Laboratories, BD (Becton, Dickinson, and Company), Roche Diagnostics, Siemens Healthcare, EKF Diagnostics Holdings, etc.

Market Dynamics

Market Growth Drivers

Increasing awareness about the importance of early disease detection and the benefits of early treatment is driving the growth of the Canada clinical diagnostics market. The federal government proposed Bill C-17 in the House of Commons, which would give provinces and territories an extra $2 Bn as a one-time top-up, split equally per population are some of the government initiatives which are responsible for the Canada clinical diagnostics market expansion.

Market Restraints

Patients have to wait an unreasonable amount of time for life-saving treatments due to a lack of medical imaging equipment and proper health human resources for the reporting of the images. This significantly limits the growth of Canada's clinical diagnostics market. Growing concerns about data privacy and security are also a restraint to the growth of the Canada clinical diagnostics market, as the storage and use of sensitive patient information is a major concern.

Competitive Landscape

Key Players

• LifeLabs- LifeLabs has been addressing Canadians' healthcare needs for over 50 years since its foundation year as BC Biomedical. They aid in the diagnosis, treatment, monitoring, and prevention of disease
• SickKids- January 2023, SickKids ranked as one of Canada's Top 40 Research Hospitals, as first for hospital intensity and also for researcher intensity for the year 2022
• Dynacare- Dynacare provides a comprehensive variety of laboratory testing services, including regular and specialized tests in hematology, clinical chemistry, immunology, and genetics to over 165 patient care centers across Quebec, Ontario, Manitoba, Alberta, and British Columbia in Canada
• MIC Medical Imaging- MIC has been an important provider of health care services in Northern Alberta, running 13 community-based imaging clinics and supplying contract services to 12 Edmonton area hospitals and community health centers
• Public Health Ontario- PHO assumed a leading role in the Ontario COVID-19 Genomics Network and the COVID-19 Testing Strategy Expert Panel, in addition to participation in the COVID-19 Provincial Diagnostic Network in Ontario
• Biron- Biron is a provider of laboratory testing and diagnostic imaging services in Canada. Biron operates 120 patient service centers sleep clinics and laboratory facilities across Canada
• Akumin- The firm offers a chain of diagnostic imaging facilities that provide a variety of services such as MRI, CT, PET/CT, X-Ray, Ultrasound, and other diagnostic services
• EFW Radiology- EFW Radiology offers extensive diagnostic and interventional imaging services in Calgary. They provide a wide range of imaging services, including X-rays, ultrasound, mammography, magnetic resonance imaging (MRI), computed tomography (CT), nuclear medicine, and interventional radiology

Notable Deals

1. In December 2022, LifeLabs announced a new partnership with Natera, Inc., a global pioneer in cell-free DNA testing, to provide individualized cancer testing in Canada via Natera's SignateraTM Residual Disease Test & in the same year, also introduced a new patient service center in Kanata, Ottawa
2. In June 2022, InsideTracker, the leading, completely individualized performance and nutrition solution, announced a partnership with Dynacare
3. In September 2021, PocketHealth, the creator of healthcare's most innovative digital image-sharing solution, announced how MIC Medical Imaging opted for its platform to make diagnostic image-sharing more accessible for patients
4. In June 2021, Akumin Inc., made a strategic partnership with Philips to install the new Radiology Operations Command Centre across Akumin's urgent care imaging centers and co-create clinical standards for Akumin's MR and CT imaging technologies

Healthcare Policies and Regulatory Landscape

Health Canada's Health Products and Food Branch (HPFB) is the national authority that regulates, evaluates, and monitors the safety, efficacy, and quality of therapeutic and diagnostic products available to Canadians. Assisted Human Reproduction Act and its regulations, as well as the Food and Drug Act, make up the HPFB's legislative foundation. Additionally, it aids in achieving international participation in certain fields like cutting-edge technologies and medical devices.

The Medical Device Bureau of the Therapeutic Products Directorate (TPD) is the national authority responsible for regulating the quality, effectiveness, and safety of medical devices in Canada. Registration of medical devices in Canada can be done through two pathways- Medical Device Establishment License (MDEL) and Medical Device License (MDL).

Standards Council Of Canada (SCC) is a crown organization created in 1970 as a result of an Act passed by Parliament with the goal of encouraging and advancing voluntary standardization in Canada. SCC offers an internationally recognized accreditation program for medical testing laboratories across Canada.