The Indian healthcare industry is on a high growth trajectory and undergoing transformation across the continuum sincethe last decade. Technology is redefining the possibilities in healthcare delivery and expanding global industry leadership of the healthcare sector while seeking elusive solutions for addressing India’s needs. With therecent approval of National Health Policy 2017 by the Government of India, healthcare expenditureintends to increase to 2.5% of gross domestic product (GDP)and India embarks on a planned approach to bridge the healthcare divide while maintaining industry competitiveness.
Medical device industryis rapidlymoving into an era of growth driven by unmet clinical needs and greater focus on domestic manufacturing. Indian medical devices market is the 4th largest in Asia and in the list oftop 20 in the world.1The medical device sector represents 9% of the overall Indian healthcare industry. It was estimated at the value ofUSD 4billion in 2014 and is growing at a compounded annual growth rate (CAGR) of 16% over the period of five years.2
Key Driving Factors of the Medical Device Industry
In current scenario, there is an immense need to use medical devices effectively to address the huge gap between demand and supply of healthcare services in India. The medical devices sector in India is at a nascent stage with most of the indigenous manufacturing restricted to medical consumables. In true sense, imports still constitute over 75% of the current medical devices market. India is looking forward to improving self-sufficiency in medical devices as a part of the “Make in India” initiative.
The rapidly expanding sector presents immense opportunities to local manufacturers and startups as well global players. There is a big shift in health burden from communicable to non-communicable diseases, which in turn is driving key medical devices segment. There is a huge demand for both cutting‑edge precision technologies as well asaffordable low technology. The Indian medical device innovation ecosystem is fast evolving with academic research, venture capital firms, government funding, and promising startups which are developing products specifically for the Indian market. Innovation is a transforming force across the industrytopropel growth, improvingvalue, creating sustainable business opportunities, and expanding “Make inIndia” drive.
Although there is robust growth across segments, new challenges aboundwhich need attention from both policymakers and industry to sustain the momentum across segments.Major hurdles that slow the growth paceof the medical device industry arethat of price control and uncertainty about the effect of new Medical Device Rules, 2017 which will be applicable from 1st Jan 2018.Despite the above challenges, medical devicerepresents the segment where greater change and growth is expected in coming future.
Turacoz Healthcare Solutions, as a knowledge partner of the medical device companiesare well equipped to raise up to the occasion and support the industry with a wide range of service spectrum. Our regulatory experts can give consultancy services for global regulatory strategies development and medical device approval and registration, and provide support for Indian market with registration and approval in India (Form 41), manufacturing license (Form 28), import license (Form 10), CE Marking / European MDD Compliance, and FDA 510(k) Notifications / PMA Submissions.
Feel free to reach out at firstname.lastname@example.org any query or RFI/RFP related to medical devices.
1IBEF Healthcare Report 2017
2FICCI and Quintiles IMS reports
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