MedTech known as Medical Technology is an application segment under the larger umbrella of healthcare systems. The segment focuses on designing and manufacturing a wide range of medical products/services for diagnosis, prevention, monitoring, treatment, and patient care. The MedTech industry encompasses a broader scope as opposed to medical devices. The operable devices include IT connectivity. Devices included in the excellence of human and animal well-being include smart inhalers, robotic surgery, wireless brain sensors, 3D printing, artificial organs, and health wearables.
Over the decades, India has achieved significant progress in the healthcare industry, and it is positioned that with the advent of MedTech, the industry has been able to extend better and faster access to affordable and good-quality care (to patients).
Indian MedTech was worth US$ 10.36 billion in 2020 and is expected to increase at a CAGR of 37 percent in 2020-2025 for reaching US$ 50 billion.
The Indian government supports terms of outlining favorable regulations and schemes and provides an allowance of 100 percent FDI which is driving the MedTech sector. The ongoing pandemic has also increased the demand for technologically advanced, high-quality, low-cost medical devices that are accessible to the Indian population. These factors are attracting international companies for setting up production facilities in India.
The Indian Medtech market is at a nascent stage, and it is projected to grow exponentially in the country owing to the rising aging population, which is favorable government policies and regulations, increasing health insurance penetration, and growing medical tourism.
The Indian MedTech market is dominated by imported products both as finished goods and raw materials and dependence on foreign countries for MedTech which is pegged at 80 percent. There is a huge scope for Indian companies for filling the gap.
Optimization Of Steers To MedTech
The MedTech sector has helped enhancement the quality of healthcare products and is able for providing real-time diagnosis to reduce healthcare costs. Giving accurate data for further analysis of data. During COVID-19, the MedTech segments witnessed a huge demand alongside other segments in the healthcare industry. The sector is projected to record a five-fold rise at a CAGR of 37 percent reaching US$ 50 billion in 2025 withholding US$ 10.36 billion in 2020.
The MedTech sector has been a helping assurance of quality healthcare products and is optimizing real-time diagnosis for the reduction of healthcare costs giving accurate data for further analysis. During COVID-19, the MedTech segments witnessed a huge demand, there is the healthcare industry. The sector is projected for a record five-fold rise within a CAGR of 37 percent reaching out to US$ 50 billion in 2025 from US$ 10.36 billion in 2020.
During the international companies strike to enter the Indian MedTech market by either setting up their facilities or acquisition of local companies. A few of the international MedTech companies including 3M, Becton Dickinson Abbott Vascular, Boston Scientific, and GE Healthcare have been setting up manufacturing facilities in the country.
Government policies and regulations are playing an important role in the creation and enablement of the environment for several initiatives for supporting the MedTech sector and helping hand of realization to the potential soon.
In September 2021, the Department of Pharmaceuticals is being notified of the scheme for ‘Promotion of Medical Device Parks’, to help medical devices and MedTech companies with easy access to standard testing and world-class common to infrastructure faculties.
Leveraging Newer Technologies
The Indian government has been planning more medical technology parks to stimulate domestic medical equipment manufacturing. The initiative is to help in increasing the inflow of foreign direct investments, promotion of research and development, and production of advancement to boost the efficiency and effectiveness of medical electronic devices.
For encouraging the domestic MedTech sector, the government has offered a 15-year income tax exemption for locally manufactured medical technology products.
For boosting the market and increasing investment inflow, the government is allowing 100 percent FDI. The initiatives are helping the development of India as an emerging hub for medical technology and the creation of a new set of opportunities in the coming years.
The Indian MedTech sector comprises large, midsized, and small companies which have multiple opportunities for meeting the demand from domestic as well as global markets.
The companies are focusing on the creation of cost-effective, high-end, technology-enabled healthcare solutions, which can help in the improvement of the well-being of millions of people. Companies operating in the market should be working towards manufacturing products that are relevant to the Indian market. It is also to focus on manufacturing products for relevancy to the Indian market. It should also be focusing on manufacturing affordable products and promoting awareness about them.
The key enablement for the MedTech sector is secured data that can be stored and analyzed without any hindrance. Within the National Digital Health Mission, the government is planning to introduce a unique digital health card for all citizens. There is always an individual to the entire medical record, and it can be utilized by doctors to understand the individual’s medical history. The initiative will be supported. The initiative is supported by MedTech solutions.
The government should provide a favorable regulatory landscape in the sector so that it can attract more investments and encourage international players to enter the domestic market. It should also focus on providing incentives with low customs duties and tax concessions along with encouragement for relevant R&D.
Several states such as Andhra Pradesh, Maharashtra, and Gujarat are planning to set up medical technology. The respective states are enabling the manufacturing of cost-effective, high-end MedTech devices to provide job opportunities.
The sector should be encouraging collaboration between medical centers and technology universities for providing innovative solutions.
With the present Indian MedTech market there is a small value of government support, innovative and customized solutions, a growing population, an increase of public and private expenditure, and growth in medical tourism will be helping the market to reach out to US$ 50 billion by 2025.