Saudi Arabia Diagnostic Labs Market Report and Forecast 2024-2032

Saudi Arabia Diagnostic Labs Market Size

The Saudi Arabia diagnostic labs market was valued at USD 1597.30 million in 2023, driven by rising adoption of advanced technologies in diagnostic services across the region. The market is expected to grow at a CAGR of 6.54% during the forecast period of 2024-2032, with the values likely to rise from USD 1701.75 million in 2024 to USD 2825.38 million by 2032.

Saudi Arabia Diagnostic Labs Market Outlook

• Growing private and public collaborations to offer increased and improved solutions to patients is likely to boost the market value in the forecast period.

• Saudi Arabia ranks at 35th position in the Medical Tourism Index, with Mecca playing a pivotal role. Emerging as a prominent medical tourism spot, the market share is estimated to witness a notable upswing in the forecast period.

• The increasing shift towards preventive healthcare directly impacts the demand for regular screenings and check-ups, augmenting the need for diagnostic labs that offer quick and accurate test results.

Saudi Arabia Diagnostic Labs Market Overview

The increasing prevalence of chronic diseases, such as diabetes, cancer, and cardiovascular diseases, among others, is primarily driving the demand for diagnostic labs in Saudi Arabia. The market is driven by an increasing rate of collaborations and strategic partnerships to improve patient outcomes in clinical settings. The rising adoption of advanced diagnostic technologies in order to attain more accurate and rapid test results has significantly favored market growth. Remote consultation, test ordering, and result delivery are becoming highly prevalent in the region. The COVID-19 pandemic fostered the increased adoption of telemedicine and home testing services in Saudi Arabia, enabling patients to access diagnostic facilities conveniently. Additionally, the increasing awareness among people about diagnostic testing and early detection of diseases has been aiding the growth of the diagnostic labs market.

Saudi Arabia Diagnostic Labs Market Growth Drivers

Rising Adoption of Advanced Diagnostic Technologies

Diagnostic labs in Saudi Arabia are adopting advanced technologies such as next-generation sequencing, molecular diagnostics, and digital pathology among others. In October 2023, King Faisal Specialist Hospital and Research Centre (KFSH&RC) introduced Rapid Whole-Genome Sequencing (rWGS) in their diagnostic labs. The new service is intended to help doctors diagnose genetic and rare diseases, especially in newborns. rWGS helps by reducing the average genetic testing duration from the conventional two-month timeframe to a time of less than 35 hours. Such technical advancements in prominent healthcare institutions are expected to significantly contribute to the growth of the market share in the coming years.

Growth in Strategic Partnerships to Meet Rising Saudi Arabia Diagnostic Labs Market Demand

The growth in public and private collaborations is a notable market driver. Such partnerships facilitate increased access to diagnostic services, improve the healthcare infrastructure along with the accuracy of diagnostic services. In June 2023, the Health Ministry of Saudi Arabia signed a privatization contract to operate and manage the radiology department in 7 hospitals. The partnership is projected to offer increased diagnostic services access to more than 1.5 million beneficiaries in the country. The initiative is a major leap in meeting the growing market demand for diagnostic labs in the region.

Saudi Arabia Diagnostic Labs Market Trends

The market is witnessing several trends and developments to improve the current global scenario. Some of the notable trends are as follows:

Saudi Arabia Diagnostic Labs Market Segmentation

Market Breakup by Provider Type

• Hospital Based

• Stand Alone

• Others

Market Breakup by Test Type

• Radiology

• Pathology

Market Breakup by End User

• Referral

• Walk-ins

• Corporate Clients

• Others

Market Breakup by Region

• Northern and Central

• Western

• Southern

• Eastern

Saudi Arabia Diagnostic Labs Market Share

Market Segmentation Based on Provider Type is Anticipated to Witness Substantial Growth

By provider type, the market is segmented into hospital based and stand-alone diagnostic labs. Hospital-based labs, present within the hospital premises, lead the market share driven by technological advancements in diagnostic methods and the growing healthcare needs. It plays a critical role in providing timely and accurate diagnostic information to offer patient care. On the other hand, stand-alone labs work independently and may be a part of a popular diagnostic chain in the region.

Pathology Segment is Boosting the Saudi Arabia Diagnostic Labs Market Share

On the basis of test types, the market breakup includes radiology and pathology. The rising prevalence of cancer, along with the COVID-19 outbreak, has propelled the market share of pathology in the region. Radiology helps in diagnosing and treating diseases and injuries. It includes X-rays, CT, MRI, PET scans and ultrasound. Pathology, dominates the market segment, entailing services like diagnostic screenings and biomarker analysis among others. The incorporation of artificial intelligence (AI)-driven analytical tools designed to enhance the efficiency and productivity of technicians and medical professionals in the field is elevating the market value.

Saudi Arabia Diagnostic Labs Market Analysis by Region

Regionally, the market report includes northern and central, western, southern, and eastern parts of Saudi Arabia. Riyadh, the capital of Saudi Arabia, is located in the central part of Saudi Arabia. Major cities like Tabuk, Ha'il, and Buraidah fall in the northern or north-central region. Each regional market offers different market dynamics which can be attributed to factors such as population density, the status of healthcare infrastructure, and economic considerations. Cities like Jeddah, Mecca, Medina, and Taif, are situated along the western coast of the country. The southern region constitutes cities like Abha, Najran, and Jizan. The northern and central regions of Saudi Arabia are dominating the market share due to the growing population size, increasing investment in improving diagnostic facilities as part of Vision 2030 initiatives, and rising adoption of advanced diagnostic technologies in the region.

Leading Players in the Saudi Arabia Diagnostic Labs Market

The key features of the market report include patent analysis, funding and investment analysis, partnerships, and collaborations analysis by the leading key players. The major companies in the market are as follows:

AI-Farabi Medical Laboratories

Founded in 2010, Al-Farabi Medical Laboratories is considered one of the most advanced medical reference laboratories in the Kingdom of Saudi Arabia. It offers many medical tests in the pathology domain including tissues and cells, along with specialized services in blood science and microbiology, among others.

Alfa Medical Laboratories

Alfa laboratories offer the latest clinical laboratory testing services, including highly sophisticated techniques to foster the prevention, early assessment, and management of complex chronic diseases.

Medical Diagnostic Labs

Medical Diagnostic Laboratories (MDLAB) was founded in 2013 to provide high-quality, accurate, and low-cost diagnostic services for the detection of infectious diseases, non-infectious, cancer, genetic, immunological, and other conditions.

Roya Specialized Medical Laboratories

Ro’ya Specialized Medical Laboratories is an initiative to achieve self-sustainability supported by the Saudi Arabian government’s Vision 2030. This group of highly specialized medical laboratories is operating within the organization of King Abdulaziz University, Jeddah.

Other players in the market include AI Borg Medical Laboratories, Delta Medical Laboratories, Tibyana Medical Laboratories, AI Arab Medical Laboratories, AI Hyatt Medical Laboratory Company, and Advanced Cell Laboratory for Medical Analysis Company, among others.

Key Highlights of the Report

Key Questions Answered in the Saudi Arabia Diagnostic Labs Market Report

• What was the Saudi Arabia diagnostic labs market value in 2023?
• What is the Saudi Arabia diagnostic labs market forecast outlook for 2024-2032?
• What are the regional markets covered in the EMR report?
• What is market segmentation based on provider type?
• What is the market breakup based on test types?
• Who are the major end users in the market?
• What are the major factors aiding the Saudi Arabia diagnostic labs market demand? 
• How has the market performed so far and how is it anticipated to perform in the coming years?
• What are the market's major drivers, opportunities, and restraints? 
• Which regional market is expected to lead the market share in the forecast period? 
• Which region in Saudia Arabia is expected to experience rapid growth during the forecast period? 
• How does the prevalence and incidence of chronic and infectious diseases affect the market landscape?
• How will the technological advancement in diagnostic methods impact the market dynamics?
• What are the major Saudi Arabia diagnostic labs market trends?
• How does the rise in the geriatric population impact the market size?
• Which provider type will dominate the market share? 
• Which test type is expected to have a high market value in the coming years?
• Which end user will contribute to the highest market share?
• Who are the key players involved in the Saudi Arabia diagnostic labs market?
• What is the patent landscape of the market?
• What are the current unmet needs and challenges in the market?
• How are partnerships, collaborations, mergers and acquisitions among the key market players shaping the market dynamics?