NEW YORK: The Indian medical device industry has a potential to grow from current $4.4 billion to $7 billion by 2016, a premier US-India business body said today as it called for a dialogue with the government to address issues of ease of doing business.
According to the US-India Business Council (USIBC), there is a need for a separate regulatory framework for medical devices and there are opportunities for collaboration to attract investment and talent to the sector.
The Indian medical device industry is currently valued at $4.4 billion, the fourth largest in Asia. The sector has the potential to grow to $7 billion by 2016 with a growth rate of 10-15 per cent annually, said the USIBC, which led a three-day Medical Device Trade Mission to New Delhi and Gandhinagar from July 21.
Citing the NDA government’s focus on ‘Make in India’, the USIBC delegation said India had strong potential in developing innovative industries in the medical devices sector.
“Through this series of fruitful discussions, we have identified opportunities to continue collaborating with the Government of India in support of its priorities to attract investment and talent to the medical device sector,” said Maulik Nanavaty, Senior Vice President and President for Neuromodulation at Boston Scientific Maulik Nanavaty.
“India has made considerable strides in developing innovative industries across a number of sectors and maintains strong potential to do the same in medical devices,” Nanavaty, who chaired the delegation, said.
He cited India’s engineering talent, experience in IT innovation and the Modi government’s ‘Make in India’ focus to underscore the importance for the government and industry to work toward creating the proper ecosystem for medical device innovation.
The delegation expressed its commitment to addressing India’s most pressing public health challenges and called for further dialogue with the government on issues related to ease of doing business, disease management and the implementation of training programs for medical device regulators.
The delegation encouraged the government to pass legislation that would provide specific regulations for medical devices, which are currently treated as pharmaceuticals under India’s Drug & Cosmetics Act.
“This will expedite the ongoing creation of research and development and product innovation that medical device companies offer India, leading to faster growth of medical device manufacturing in the country. The time is opportune to fulfil the government’s mandate of Make in India and Innovate in India,” Nanavaty added.
The delegation met with officials of key Indian ministries including the Ministry of Health, Department of Industrial Policy and Promotion, Drugs Controller General of India, Commerce and Finance, Department of Pharmaceuticals as well as the Ministry of Chemicals and Fertilisers.
USIBC Director and Legal Policy Council Amy Hariani said the medical device industry, which forms a critical segment of the healthcare industry, is going through rapid transformation in India and is projected to grow at a higher rate as health insurance becomes more widely available and the country’s consumers continue to demand better healthcare services.
“USIBC’s medical device members are excited about the opportunities in India,” Hariani said adding that USIBC member companies were encouraged by the Indian government’s openness to engage with industry on best practices and areas of potential collaboration.
The delegation also held discussions with several private sector representatives to convey the global medical device industry’s long-term commitment to working with the Indian government and key stakeholders.
The industry is also working to engage with the government and stakeholders to partner on solutions for increased access to medical technology for Indian patients.
The delegation included participation from global healthcare majors like Abbott, Medtronic, Zimmer, Johnson & Johnson, Quintiles, General Electric, Varian Medical and AZB & Partners.