EDGC CEO Shin Shang-cheol, left, stands next to YTS Global Group Chief Business Officer Hong Yong-jin at the headquarters of EDGC located in Incheon, Tuesday. / Courtesy of EDGC
By Anna J. Park
Eone Diagnomics Genome Center (EDGC), a Korea-headquartered healthcare company whose strength is in genetic analysis technology, announced Tuesday that it succeeded in entering the U.S. procurement market.
The company said it received a purchase order (PO) qualifying the firm's status to supply the U.S. Department of Veterans Affairs Federal Supply Schedule Service (VA FSS) program that covers all medical-related procurement contracts for the U.S. government. The company explained that the official entry into the world's largest procurement market can only be obtained after meeting strict verification requirements following a stringent screening process.
By winning the U.S.' official purchase order request, the bio healthcare company is slated to make its first export delivery to its U.S.-based business partner, YTS Global Group, which will then supply the shipments to the U.S. government.
The first batch of items to be delivered will be $1 million worth of the 65Ⅱ-A Medical Device (TENS), which applies fine electrical stimulation to a pad attached to the human body to make muscles become tense or relaxed. The device is used for pain relief, rehabilitation therapy and muscle-building exercises.
EDGC plans to export 10 million of the low-frequency stimulators over the next 5 to 10 years, which will be worth more than $600 million.
EDGC has been preparing with YTS Global Group to advance into the US procurement market and other medical sectors such as U.S. hospitals. The firm already acquired supply qualifications through the System for Award Management (SAM) registration, which is essential for entering the U.S. federal procurement market.
The U.S. procurement market is worth about $830 billion on an annual basis and only about 0.2 percent of the market is opened to overseas companies. The market is characterized by long-term deals that last up to 10 years or more for the stable procurement of high-quality products.
