The medical technology sector in India, currently at Rs. 44,350 crore, offers a Rs. 3,20,000 crore opportunity by 2025. The domestic component would be Rs. 1,28,000 crore; sales from local innovation Rs. 64,000 crore; and setting up right manufacturing capabilities could spur an additional Rs. 1,28,000 crore manufacturing opportunity for Indian medical technology space. This is the essence of an analysis by CII and The Boston Consulting Group, presented in Vision 2025 last year.
This year, the CII-BCG team along with CEOs and senior leaders, brainstormed to identify key requirements to realize the vision. A ten-point agenda of what needs to come together next year has been created. This includes:
- Unlocking demand by executing draft National Health Policy plans to expand public investment to 2.5 percent of GDP by 2020. This can be combined with unified procurement platforms to access government spending
- Setting up a single window authority for the regulation of MedTech
- Staffing regulatory and administrative agencies with an independent set of qualified professionals
- Ensuring representation from each major association, electronics, diagnostics, devices, and consumables in the respective regulatory bodies
- Defining a few hubs under the Make in India aegis. Focusing on enhancing the capability of designated manufacturing hubs and equipping the medical device hubs with centralized testing, sterilization, and validation centers
- Launching specific tax incentives and lowering cost of finance for setting up manufacturing plants
- Rationalizing the inverted duty structure
- Defining a segmented approach to procurement which rewards innovation
- Designating an Indian research institute to set up the first incubation center in collaboration with a global institute and inviting the industry to participate
- Developing a dedicated industry advocacy body to promote career opportunities in the MedTech industry
- Setting up a separate sub-group in Healthcare Sector Skill Council (HSSC) focused on MedTech.
With these steps, in the years to come, India will make a prominent space for itself in the global MedTech market, with indigenous technologies addressing the needs of Indian patients.