Cabinet accepts promotion of domestic manufacturing of medical devices in country

The central government laid out a plan, as domestic medical devices industry are in place to acquire a booster dose. The plan of action talks about providing at least ₹3,420 crore to Indian players over a period of five years and the scheme is known as a production linked incentive. The condition applicable to the incentive provision, is that it would only be provided to the set-ups that produce key medical devices. 

The prime concern will be designated to domestic manufacturing of cancer care and radiotherapy medical devices. Radiology and imaging medical devices, anaesthetics and cardio-respiratory medical devices are available.This includes catheters of this category meant for the heart, and renal care medical devices meant for kidneys. All implants including implantable electronic devices like cochlear implants meant for those with hearing impairment and pacemakers for the heart, is as per officials in Department of Pharmaceuticals.

Promotion worth ₹400 crore has also been approved by the Union Cabinet headed by PM Narendra Modi for the promotion of medical device parks scheme.  The medical device parks are to finance common infrastructure facilities. Manufacturing cost of medical devices in the country are expected to reduce with a sub-scheme which prattles about the promotion of common infrastructure and facilities in four medical device parks.

The medical device sector created a disability of around 12%-15% in the manufacturing cost, which in turn led to lack of adequate infrastructure, domestic supply chain and logistics, high cost of finance, inadequate availability of quality power, limited design capabilities and low focus on research and development (R&D) and skill development, etc. The promotion of domestic manufacturing of medical devices, under production linked incentives (PIL) scheme  will attract large investments in the medical device sector. It will lead the way to incremental production worth ₹68,437 crore over a time span of five years.

A call for mechanism has come in order to compensate the manufacturing disability. The scheme also comes with an advantage, that is generation of additional employment over the time span of five years and also reducing the import of medical devices.