Price water house Coopers has issued a report predicting that India’s medical technology (MedTech) industry, the development of which is a government focal point, could reach US$9.6 by 2023. In 2017 the industry was valued at US$5.7 billion and is expected to reach US$7.8 billion by 2020.
The report reveals that on a global scale, the medical tech market is expected to reach US$495 billion in the upcoming three years. This marks a 23.75% increase from the current US$400 billion.
Thanks to the fruitful implementation by India of its Medical Device Rules in 2021, the report says this sector is finally maturing and ready to enter the next stage of evolution.
The vast growth potential of India in the sector is further indicated by the fact that currently, only US$4 per capita is spent on medical devices — far below the global US$66.3 average. Furthermore, the government sees MedTech as a “sunrise sector” and has allowed 100 percent foreign direct investment (FDI) in the sector.
Though the industry is still largely import-dependent, PwC anticipates new strategic initiatives, such as ‘Make in India’ plus the support given to FDI investments, to boost the industry’s competitiveness in local manufacturing and export.
The report also states that the collaboration between government and industry has spread further than just medical device rules and includes initiatives related to standardization.
Several other government initiatives include the approval for two medical device testing labs for supporting research and development as well as approval to establish dedicated MedTech parks to endorse manufacturing.
The PwC report goes further, noting that the sector seeks to continue to explore avenues for fostering further trust-based collaborations with the government.
The report pointed out that the government must further aid in the promotion of this sector’s development by allowing for initiatives such as establishing a distinctive Medical Device Export Promotion Council, MedTech Department, Med Device Regulator, and Med Device Act.
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