A Rs 500 crore plan to boost India's medical device sector was unveiled by Union Chemicals and Fertilizers Minister JP Nadda on Friday. It focuses on important areas like producing essential parts and accessories, developing skills, assisting with clinical research, building shared infrastructure, and promoting the sector.
According to a government announcement, the Rs 500 crore initial investment will last for three years, till the fiscal year 2026–2027 (FY27).
Common facilities for medical device clusters, talent development and capacity building, a marginal investment plan to lessen reliance on imports, assistance for clinical research, and a medical device promotion plan are the five main parts of the overall plan.
A total of Rs 110 crore has been set up under the initiative to improve infrastructure by building shared facilities including design and testing centers, animal labs, and research and development (R&D) labs for about 20 medical device clusters across India. The improvement of testing facilities will also be part of this.
According to a statement from the chemicals and fertilizers ministry, "up to Rs 20 crore in grants will be provided for common facilities and Rs 5 crore for testing facilities."
In a similar vein, a marginal investment plan worth Rs 180 crore has been proposed to strengthen the value chain by encouraging the production of essential parts and raw materials for the production of medical equipment, thus lowering reliance on imports.
With a cap of Rs 10 crore per project, this sub-scheme provides a one-time capital subsidy of 10–20%.
Additionally, the government would offer a 100 crore rupee support plan for clinical investigations of medical devices, allowing manufacturers and inventors to seek for funding for animal research and, if approved, human trials to verify MedTech products.
An additional Rs 10 crore would be utilized for a promotion program for the medical device business, while Rs 100 crore has been set aside for skill development in the sector.
Nadda called the plan a "game changer" for the sector, stating that it will not only help the sector but also be a big step in the direction of India becoming self-sufficient.
He went on to say, "The government is dedicated to bolstering the medical devices sector through targeted interventions that produce significant and transformative results."
The Indian medical device market is in the top 20 worldwide, with a $14 billion market value, making it the fourth largest in Asia. By 2030, the industry is predicted to reach $30 billion.
Himanshu Baid, managing director of Poly Medicure, commented on the industry's response, stating that these steps will boost India's standing as a top supplier of medical equipment, decrease dependency on imports, and speed up sectors growth.
"This all-encompassing strategy will not only help the sector but also fortify the nation's healthcare system," he continued.
