Lok Sabha Question No. 100 (STARRED), answered on 2023-12-08
Subject: Promotion of Medical Device Industry
Ministry: CHEMICALS AND FERTILIZERS
Asked by: Sumalatha Ambareesh, D.K. Suresh

## GOVERNMENT OF INDIA MINISTRY OF CHEMICALS & FERTILIZERS DEPARTMENT OF PHARMACEUTICALS

LOK SABHA STARRED QUESTION NO. 100 TO BE ANSWERED ON 08 th  DECEMBER, 2023

## Promotion of Medical Device Industry

## *100.   SHRIMATI SUMALATHA AMBAREESH: SHRI D.K. SURESH:

Will the Minister of CHEMICALS AND FERTILIZERS be pleased to state:

- (a) the present status of growth of Medical Device Industry in the country;
- (b) the details of the initiatives taken/proposed to be taken by the Government for promotion
- of Medical Device Industry;
- (c) whether the Government has identified potential hubs in various States for the
- development of Medical Device Industry in the country; and
- (d) if so, the details thereof and the steps taken thereon?

## ANSWER

MINISTER IN THE MINISTRY OF CHEMICALS AND FERTILIZERS (Dr. MANSUKH MANDAVIYA)

- (a)  to (d): A Statement is laid on the Table of the House.

Statement  referred  to  in  reply  to  the  LOK  SABHA  STARRED  Q.  NO.  100  (20 th POSITION) for answer on 08.12.2023 raised by  SHRIMATI  SUMALATHA AMBAREESH  and  SHRI  D.K.  SURESH  regarding  'Promotion  of  Medical  Device Industry'

(a): It is informed that the market size of medical device industry in the country was estimated at USD 11 billion in 2020 and is expected to grow rapidly. India is the 4 th largest Asian medical devices  market  after  Japan,  China  and  South  Korea  and  among  the  top  20  global  medical devices markets in the world.

- (b): The Government of India has taken several measures to encourage domestic manufacturing of Medical Devices. The steps taken to support Medical Devices Industries are as under:
- i. Production  Linked  Incentive  Scheme  for  Promoting  Domestic  Manufacturing  of Medical Devices (PLI MD) with total financial outlay of Rs. 3,420 crore and tenure from FY 2020-2021 to FY 2027-28. The financial incentive is to be given to selected companies at the rate of 5% on incremental sales of medical devices manufactured in India and covered under the target segments of the scheme, for a period of five years. 26 participants have been approved under the scheme and manufacturing of 39 products has started.
- ii. Production Linked Incentive Scheme for Pharmaceuticals has been launched with total financial outlay of Rs. 15,000 crore and tenure from FY 2020-2021 to FY 2028-29. The scheme covers In-Vitro Diagnostic (IVD) Device. A total of 55 participants have been approved  under  the  scheme,  out  of  which 5 participants  were  selected  for  In-Vitro Diagnostic (IVD) devices.
- iii. The scheme Promotion of Medical Devices Parks, with a total financial outlay of Rs. 400 crore and tenure from FY 2020-2021 to FY 2024-2025, provides for the maximum financial assistance of Rs. 100 crore each to four selected States/Union Territories for creation of Common Infrastructure Facilities in the upcoming Medical Devices Parks. Under the scheme, final approval for financial assistance of Rs. 100 crore each, has been given to the States of Himachal Pradesh, Madhya Pradesh, Tamil Nadu and Uttar Pradesh. First installment of Rs 30 crore each has been released to all the States.
- iv. The Department has also notified National Medical Devices Policy (NMD), 2023 on 26.04.2023.  Policy  envisions  to  place  the  Indian  medical  devices  sector  on  an accelerated growth path with a patient-centric approach to meet the evolving healthcare needs of the country.
- v. Scheme for Promotion of Research and Innovation in Pharma MedTech Sector (PRIP) in specified priority areas with an outlay of Rs. 5000 cr. for a period of 5 years i.e., 2023-24 to 2027-28 was notified on 17.08.2023. Under this scheme, it is proposed to establish  a  Centre  of  Excellence  (CoE)  with  specialization  in  Medical  Devices  at National Institutes of Pharmaceutical Education & Research (NIPER), Ahmedabad.
- (c)  &  (d):  As  per  the  study  conducted  through  Centre  for  Market  Research  &  Social Development, there are 21 Medical Device (MD) Clusters in the country. The scheme Assistance to Medical Device Clusters for Common Facilities (AMD-CF) provides for financial incentive to Medical devices clusters to develop common infrastructure facilities like Medical devices testing labs, E-waste treatment facility, logistic centers etc. The scheme also provides for financial assistance to National or State Level Government or Private Institutions interested in establishing or strengthening testing facilities for medical devices. The financial outlay of the Scheme is Rs 300 cr and the tenure of the scheme is FY 2023-24 to FY 2026-27.

*****