Over the last few years, the healthcare and medical device
industries have grown remarkably. There is an outstanding opportunity for producing Hospital Equipment in India owing to the huge gap in the present demand and supply of medical devices in the country.
The medical devices sector in the country consists of both the large MNCs and SMEs. As one of the top 20 global markets for medical devices, the Indian market for Medical devices is anticipated to reach USD 50 billion by 2025, registering at a CAGR of 35.4 percent. When it comes to India’s import dependency on medical devices, the country has over 75-80 percent of import dependency and exports in the year 2019 at USD 2.1 billion, which is predicted to grow at a CAGR of 29.7 percent to reach USD 10 billion in 2025.
While it is possible to estimate the useful life of medical equipment and hospital equipment, it is also highly possible to predict the same in the case of medicines, in some prevention technologies, protection.
However, in few others like organizations, clinical procedures, software, and hospital infrastructure need a dissimilar analysis. These are subject not only to the life cycle in the market but also to government policies. It also includes the technological trends in competition or new advantages that would result in cost savings and better capabilities.
Roadmap for India’s self-reliance in medical equipment manufacturing
Currently, India imports roughly about 80 percent of its requirement of medical devices from various countries. The United States, Germany, China, Singapore, and the Netherlands are the top exporters of medical devices to India; the House of the People (Lok Sabha) was informed recently.
“The Central Drugs Standard Control Organization (CDSCO) is presently regulating 28 categories of notified medical devices under the provisions of the Drugs and Cosmetics Act, 1940 and the Medical Devices Rules, 2017,” said Minister of State for Health Ashwini Choubey in a written reply.
When asked about the government’s roadmap for the country’s self-reliance in medical equipment, medical devices, and medical lab kit sector, the minister said that various schemes have been formulated to promote domestic manufacturing of medical devices/equipment and attract large investment in the sector.
The center has approved a total financial outlay of Rs 3420 crore for a scheme for promoting domestic and internal production of medical equipment called - ‘Production Linked Incentive Scheme for Promoting Domestic Manufacturing of medical devices’.
“Another scheme ‘Promotion of Medical Devices Parks’ has also been approved by the government with a financial outlay of Rs 400 crore. The National Biopharma Mission, with an outlay of Rs 148.79 crore is meant for the establishment of infrastructure and facilities for the manufacturing and testing of medical devices. Nine such facilities have been funded and Rs 105.42 crore has been utilized,” added Ashwini Choubey.