New Delhi, Aug 29 India’s MedTech industry is strategic to reduce the import dependency as well as boost the sector’s share in the global market, according to a report on Friday.
The report by the Confederation of Indian Industry (CII), in collaboration with Boston Consulting Group (BCG), highlights the transformative opportunity for India’s MedTech industry to emerge as a global manufacturing and innovation hub.
The CII-BCG report was launched at the inaugural session of the 17th CII Global MedTech Summit by Amit Agrawal, Secretary, Department of Pharmaceuticals, Ministry of Chemicals & Fertilizers.
Valued at approximately $16 billion, India’s MedTech industry currently accounts for only around 2per cent of the approximately $680 billion global market.
“With the government’s Viksit Bharat 2047 vision, the sector has been identified as a strategic pillar in the ‘Make in India’ agenda, with aspirations to reduce import dependency to below 50per cent and increase India’s share of the global market to 10-12per cent,” the report said.
It noted that India has made significant strides in building MedTech manufacturing capacity. The achievements include the development of four MedTech parks, led by Andhra Pradesh MedTech Zone (AMTZ) as the most advanced, financial incentives such as the Production-Linked Incentive (PLI) scheme, and state-level tax benefits.
Further, it also led to upskilling initiatives through institutions like NIPER to develop MedTech talent and paved the way for rising private investments from both domestic players and global MNCs, reducing import reliance from about 80 per cent in FY2022 to nearly 60per cent in FY2024.
“Despite the progress, the report identifies key challenges to achieving manufacturing excellence: gaps in the ecosystem for high-end devices, regulatory complexity, shortage of skilled manpower, under-utilisation of MedTech parks, and limited MSME participation in incentive schemes,” the report said.
To address these, the report outlined strategic initiatives to drive the next phase of growth, such as fine-tuning the PLI scheme for MSME participation, rationalising import duties and duty exemptions for critical raw materials.
It suggested developing a raw material ecosystem; attracting MNC manufacturing and R&D hubs to India; and unlocking the potential of MedTech parks through co-innovation labs and shared foundries.
"With concerted government, industry, and academic collaboration, India can not only meet growing domestic demand but also position itself as a trusted global hub for MedTech manufacturing and innovation,” the report said.
Disclaimer: This post has been auto-published from an agency feed without any modifications to the text and has not been reviewed by an editor