Medical device manufacturing is flourishing in the Central American country, spurred by a host of incentives.This year is seeing a wave of expansions by medtech contract manufacturers in Costa Rica.
Medtech OEMs have made the Central American company a manufacturing hub since the 1990s. Major companies operating there include Abbott, Bayer, Boston Scientific, Cardinal Health, Edwards Lifesciences, Hologic, Medtronic, Philips, Smith+Nephew and Wright Medical. Eight of these are among the top 20 exporters in Costa Rica, representing nearly $2.7 billion in medical device exports in 2019 — 73% of the total.
Medtech OEMs in Costa Rica want their suppliers nearby, making the Central American country a magnet for contract manufacturers. The addition of medtech sterilization facilities in Costa Rica — BeamOne (now Steris) in 2009 and Sterigenics in 2013 — also helped spur more contract manufacturing. Before that, manufacturers had to ship products to the U.S. for sterilization, according to Pilar Madrigal, director of investment advisory for CINDE, Costa Rica’s investment promotion agency.