The Indian government has recently revealed its plans to establish the National Medical Devices Promotion Council (NMDPC) in a bid to stimulate production, attract investments, and foster exports in the medical device sector, known as a sunrise sector. This sector is critical to the overall healthcare ecosystem of the country. Through self-reliance in medical devices, the government aims to improve public health and reduce import bills that currently exceed over Rs 31,000 crore in the medical devices sector.
Introduction to NMDPC
The NMDPC will be led by the Secretary of the Department of Industrial Policy and Promotion (DIPP) under the Ministry of Commerce and Industry. The council will comprise representatives from relevant government departments, the healthcare industry, and quality control institutions. The Andhra Pradesh MedTech Zone, situated in Visakhapatnam, has been appointed to provide technical support to the council.
Objectives and Activities of NMDPC
The NMDPC has several goals and functions to fulfill. At its core, it will serve as a facilitating body that promotes and develops the Indian Medical Devices Industry (MDI). It will conduct frequent seminars, workshops, and networking activities to gather industry insights.
| Objective | Description |
|---|---|
| Simplifying Approvals | The council will identify redundant processes and offer technical assistance to agencies and government departments to streamline the approval procedures. |
| Support Certifications | The council will encourage the entry of emerging interventions and support manufacturers in obtaining certifications that adhere to global trade norms, consequently transforming India into an export-oriented market in this sector. |
| Dissemination of International Norms | It will facilitate the dissemination and documentation of international norms and standards for medical devices by adopting best practices from the global market. |
| Drive a Robust PMA policy | The council will strive to implement a strong and dynamic Preferential Market Access (PMA) policy. |
| Validation of Entities | The council will be responsible for validating Limited Liability Partnerships (LLPs) and other entities within the MDI sector. |
Medical Devices Industry in India
The Indian Medical Devices industry, currently worth over 5 billion, is expected to grow to50 billion by 2025. At present, India ranks among the top 20 global medical devices markets and stands 4th in Asia, following Japan, China, and South Korea. Foreign Direct Investment up to 100% is permitted in Medical devices through the automatic route.
Challenges Faced by Medical Device Industry in India
Despite its potential, the medical device industry in India faces several challenges. These include low penetration, lack of accessibility and inadequate regulatory systems. Other obstacles like high real estate prices, complex tax regimes, high capital costs and insufficient policy attention pose further impediments to sectoral growth. India’s limited appeal as a destination for medical devices, due to uncertain regulations and pricing environment, unavailability of skilled resources, and ease of doing business compared to other comparable destinations in Asia, is another issue. Lack of innovation and customization also limits patient options.
Last Modified: February 6, 2024