India’s medical devices sector is a mix of large multinational companies and small to mid-sized businesses. As of 2023, the Indian medical devices market is valued at approximately USD 15.35 billion and is projected to grow to USD 20.51 billion by 2029, with an annual growth rate of 5.35%. Despite its growth, India’s share in the global medical devices market is relatively small, at 1.65%.The diagnostic equipment segment is also expanding, expected to grow from USD 4 billion in 2023 to USD 6 billion by 2027.
India is the fourth-largest medical devices market in Asia, following Japan, China, and South Korea, and ranks among the top 20 globally.
In the 2022-23 fiscal year, india exported medical consumables and disposables worth USD 1.6 billion, exceeding imports valued at around USD 1.1 billion. While exports grew by 16%, imports decreased by 33%.
However, between November 2022 and October 2023, India’s dependence on imported medical devices increased by 21%, with imports reaching USD 7.23 billion (₹61,262.84 crore).
Source: https://www.ibef.org/industry/medical-devices
Some Recent Investments and developments
Highlights from 2024:
- April: Amkay Products launched an IPO to raise ₹12.6 crore ($1.51 million).
- March: Union Minister Mansukh Mandaviya inaugurated 27 new bulk drug park projects and 13 manufacturing plants for medical devices under the PLI scheme, aiming to reduce production costs.
- February: OMRON Corporation’s brand achieved “well-known trademark” status in India, recognized by the Registrar of Trademarks.
Highlights from 2023:
- December 2023: A platform called “MedTech Mitra” was launched to support medtech innovators with clinical assessments, regulatory guidance, and product adoption.
- On December 2023, Agappe,2023 Kerala’s leading diagnostic technology brand, unveils its first indigenously manufactured HX series haematology equipment and Mispa i200 Immunology CLIA analyser, marking a new era in diagnostics era.
- November 2023: LTTS partnered with Nvidia to improve endoscopy devices with AI technology.
- In April 2023, Healthvista India, the parent company of the healthtech startup Portea Medical, received approval from the Securities and Exchange Board of India (SEBI) for its initial public offering (IPO). The IPO comprises a fresh issue of equity shares worth Rs. 200 crore (US$ 24 million) and an offer for sale (OFS) of up to 56,252,654 shares worth Rs. 800 crore (US$ 95.9 million).
- In March 2023, SMT was selected as the exclusive distributor of Penumbra’s peripheral and coronary vascular thrombectomy technologies in select domestic geographies in India.
- In August 2023, Union Health Minister Mr. Mansukh Mandaviya said that India is poised to become a global centre for medical technology and devices, while addressing the India MedTech Expo 2023.
- In August 2023, Manipal Academy of Higher Education (MAHE), Manipal and Siemens Healthineers signed a Master Research collaboration (MRA) for continued strengthening of future cooperation between both organisations in achieving shared outcomes for the stakeholders.
- As announced in August 2023, Omron Healthcare India Pvt. Ltd., a subsidiary of Japanese company Omron Healthcare Co. Ltd., which is in the supply of home healthcare monitoring devices in India, is planning to double its revenue in 3-5 years.
- In August 2023, Omron Healthcare India announced a collaboration with supermodel, film producer, and fitness enthusiast Mr. Milind Soman to enhance awareness around adopting home monitoring as an essential constituent of the health regime.
- In May 2023, Medtronic announced an investment of approximately Rs. 3,000 crore (more than US$ 350 million) to expand the Medtronic Engineering & Innovation Center (MEIC) in Hyderabad. MEIC is Medtronic’s largest research and development (R&D)
- In March 2023, Siemens Healthineers, a medtech company that is into precision medicine, transforming care delivery, improving the patient experience, and digitalising healthcare, announced that it would invest Rs. 1,300 crore (US$ 157.2 million) at Bommasandra in Bengaluru to set up a full-fledged campus.
- Medtronic bolstered its presence in India by investing approximately Rs. 3,000 crore (US$ 362.8 million) to expand Medtronic Engineering & Innovation Center in Hyderabad.
- The first indigenously developed RT-PCR kit for testing monkeypox was launched by Transasia at the Andhra Pradesh Medtech Zone (AMTZ) in August 2022.
- BeatO, a supplier of diabetes treatment, has raised US$ 33 million in a Series B fundraising, which was headed by Light rock India. Health Quad and current investors Orios Venture Partners, Blume Ventures, and Leo Capital also participated.
- In July 2022, the Rajiv Gandhi Cancer Institute and Research Center (RGCI) in New Delhi received its first-ever Made-in-India Surgical Robotic System, the SSI-Mantra, which was developed by med-tech startup SS Innovations.
Road Ahead
Policymakers in India need to create a clear action plan to reduce the country’s reliance on imported medical devices and technology. Currently, NITI Aayog is working on a strategic roadmap to strengthen the medical devices sector. With these efforts, India is expected to grow into a $50 billion medical devices market in the coming years.
At BioAsia 2021, experts predicted that India could become self-sufficient in manufacturing medical devices by 2025-26. They highlighted government initiatives such as promoting indigenous production of advanced medical devices, implementing production-linked incentive (PLI) schemes, and establishing new medical device parks to accelerate growth in this sector.
To achieve this vision, medical device companies should focus on making India a manufacturing hub for both domestic and global markets. This involves innovation rooted in India, leveraging initiatives like Make in India and Innovate in India, and producing low to medium-tech products to serve underdeveloped domestic markets. These efforts will not only enhance local production but also make high-quality medical technology more accessible and affordable for the Indian population.