In a significant move to bolster the medical device sector, the Indian government has launched a ₹500 crore scheme spanning three years (2024-2025 to 2026-27). This initiative, with an initial outlay of ₹500 crore, aims to strengthen the medical device industry, reduce import dependency, and drive self-reliance.
The scheme, aptly named “Boosting Medical Device Manufacturing in India,” is divided into five sub-schemes:
1.
Common Facilities for Medical Devices Clusters (₹100 crore):
This sub-scheme will focus on establishing common facilities for manufacturing and R&D in key medical device clusters across the country. This will provide a platform for collaboration, sharing resources, and fostering innovation.2.
Marginal Investment for Reducing Import Dependence (₹180 crore):
This sub-scheme will provide financial support to medical device manufacturers for setting up or expanding their production facilities, thereby reducing reliance on imports.3.
Capacity Building and Skill Development for Medical Devices (₹100 crore):
Recognizing the need for a skilled workforce, this sub-scheme will focus on training and capacity building programs for professionals in the medical device industry.4.
Medical Device Promotion (₹10 crore):
This sub-scheme will support promotional activities to raise awareness about the capabilities of Indian medical device manufacturers and encourage domestic adoption of their products.5.
Clinical Studies and Research (₹20 crore):
This sub-scheme will promote and fund clinical trials and research activities related to medical devices, leading to the development of innovative and high-quality products.A Game Changer for India’s Medical Device Sector
Union Health Minister J.P. Nadda hailed the scheme as a game changer, stating that it demonstrates the government’s commitment to strengthening the medical device industry through targeted interventions. He emphasized the scheme’s potential to achieve substantial and transformational outcomes.
“India is poised to lead globally in this sector. The aim of this new scheme is to reduce import dependency, and give a boost to Viksit Bharat@2047, and make the sector atmanirbhar,” Nadda said.
India’s Growing Medical Device Industry
India is currently the 4th largest medical device market in Asia and among the top 20 globally. The Department of Pharmaceuticals estimates the market size of the Indian medical device industry to be $14 billion. In recent years, India has made significant strides in manufacturing and exporting a range of medical devices, including ventilators, PPEs, diagnostic kits, surgical gloves, coronary stents, radio-imaging equipment, and body implants.
Exports Surge, Imports Decline
Medical device exports have witnessed a remarkable growth of 13.8% over the last three years, while imports have declined by 2.08%. This trend reflects the growing competitiveness of Indian medical device manufacturers.
Industry Leaders Optimistic
Rajiv Nath, Forum Coordinator of the Association of Indian Medical Device Industry, believes the new scheme will incentivize manufacturers to move beyond trading and importing to become actual manufacturers and produce complete products and their components in-house.
The government’s commitment to supporting the medical device industry through targeted initiatives like this scheme is expected to drive innovation, create jobs, and strengthen India’s position as a global leader in medical technology. This will not only benefit the Indian economy but also contribute to the global healthcare landscape.
