Issues of Medical Devices Industry did not get a highlight in Union Budget , says AiMeD

Chennai: The Union Budget 2022-23 presented by Finance Minister Nirmala Sitharam in the Parliament on Tuesday, does not satisfy the needs of Indian medical devices industry , Association of Indian Medical Device Industry (AiMeD) said.

"We were expecting the government to move forward on promised reforms and anticipated conducive measures to boost domestic manufacturing of medical devices," Coordinator of AiMeD Forum Rajiv Nath stated. It is frustrating that against our expectations, the government has not included any measures to help end the 80-85 per cent import dependence forced upon India and an ever increasing import bill of over Rs 46,000 crore, he added.

Read also: MTaI urges Govt to reduce GST on medical devices

According to Nath, the Budget has nothing for the promotion of growth of Indian medical devices industry other than repeating last year's assurance to end custom exemptions of products that can be made in India. "The only positive announcement was on Public Procurement by allowing 75 per cent prompt payments and bringing in a weighted price preference on account of quality which is especially critical in healthcare related medical devices," he said.

"Though we still need to go through the fine print, the budget has not addressed many of the issues highlighted by large parts of the healthcare industry like streamlining of GST and reduction of customs duty. The rolling back of the health cess is our other demand which will help us preserve jobs, jobs which are instrumental in making the Healthcare workers become patient ready. In similar expression of patient interest, we have also sought that the GST slab for medical devices be brought down from 12% to the rate of preferential products i.e. 5 per cent." stated Pavan Choudary, chairman of Medical Technology Association of India.

Read also: Medical devices, prescription drugs boost JnJ earning in Q4