- Home
- Medical news & Guidelines
- Anesthesiology
- Cardiology and CTVS
- Critical Care
- Dentistry
- Dermatology
- Diabetes and Endocrinology
- ENT
- Gastroenterology
- Medicine
- Nephrology
- Neurology
- Obstretics-Gynaecology
- Oncology
- Ophthalmology
- Orthopaedics
- Pediatrics-Neonatology
- Psychiatry
- Pulmonology
- Radiology
- Surgery
- Urology
- Laboratory Medicine
- Diet
- Nursing
- Paramedical
- Physiotherapy
- Health news
- Fact Check
- Bone Health Fact Check
- Brain Health Fact Check
- Cancer Related Fact Check
- Child Care Fact Check
- Dental and oral health fact check
- Diabetes and metabolic health fact check
- Diet and Nutrition Fact Check
- Eye and ENT Care Fact Check
- Fitness fact check
- Gut health fact check
- Heart health fact check
- Kidney health fact check
- Medical education fact check
- Men's health fact check
- Respiratory fact check
- Skin and hair care fact check
- Vaccine and Immunization fact check
- Women's health fact check
- AYUSH
- State News
- Andaman and Nicobar Islands
- Andhra Pradesh
- Arunachal Pradesh
- Assam
- Bihar
- Chandigarh
- Chattisgarh
- Dadra and Nagar Haveli
- Daman and Diu
- Delhi
- Goa
- Gujarat
- Haryana
- Himachal Pradesh
- Jammu & Kashmir
- Jharkhand
- Karnataka
- Kerala
- Ladakh
- Lakshadweep
- Madhya Pradesh
- Maharashtra
- Manipur
- Meghalaya
- Mizoram
- Nagaland
- Odisha
- Puducherry
- Punjab
- Rajasthan
- Sikkim
- Tamil Nadu
- Telangana
- Tripura
- Uttar Pradesh
- Uttrakhand
- West Bengal
- Medical Education
- Industry
Medical sector incentive rate under PLI scheme should be revised to 10 percent: Transasia
The five percent incentive rate is "inadequate" and should be increased to facilitate Indian companies to produce medical devices not only for the country but also for the overseas markets.
New Delhi: The Centre should increase the rate of incentive under the PLI scheme to 10 per cent from 5 per cent to reduce dependence on import of medical equipment and boost domestic manufacturing of such products, an official of a company involving in the sector said on Sunday.
The government has introduced the production-linked incentive (PLI) scheme to enhance the country's manufacturing capabilities of medical equipment and encourage the development of technology.
"The PLI scheme is an excellent initiative to make India Atmanirbhar (self-reliant) in the sector. But the incentive rate is just five per cent for the medical technology companies, while the same for the automobile industry is 10 per cent.
"We urge the government to raise it to 10 per cent," Transasia Bio-Medicals chairman and managing director Suresh Vazirani told PTI.
The five per cent incentive rate is "inadequate" and should be increased to facilitate Indian companies to produce medical devices not only for the country but also for the overseas markets.
According to an estimate, the import of medical equipment from China accounts for around 25 per cent of the USD 50 billion industry in India.
Indian companies in the medical technology sector are not able to compete in the global market due to several infrastructural inefficiencies and high cost of funds, he said.
"The production-linked incentive of 10 per cent will help mitigate these hurdles and double the output of medical technology-based products. This will also facilitate med-tech companies to meet at least 50 per cent of the country's demand for such products in the next 3-4 years," Vazirani said.
The Rs 1,300 crore company is planning to set up its fourth manufacturing plant in the country.
The medical-technology firm has three domestic units and two overseas facilities.
"We are planning to build our fourth domestic plant. The company is in talks with Telangana and Andhra Pradesh for the project. It will involve a capital expenditure of Rs 100- 150 crore, and the facility will produce blood analysers," the official said.
Ruchika Sharma joined Medical Dialogue as an Correspondent for the Business Section in 2019. She covers all the updates in the Pharmaceutical field, Policy, Insurance, Business Healthcare, Medical News, Health News, Pharma News, Healthcare and Investment. She has completed her B.Com from Delhi University and then pursued postgraduation in M.Com. She can be contacted at editorial@medicaldialogues.in Contact no. 011-43720751
Next Story