Steady Growth, Sound Fundamentals: India Medical Devices Manufacturing Landscape

The Context

India’s medical devices industry is growing rapidly. In 2024, it was worth around US$ 14 billion and it is expected to more than double to US$ 30 billion by 2030. This growth is being driven by increasing demand for healthcare, new technologies and strong support from the Indian government.

Medical devices include many types of products — such as electronic medical equipment, surgical tools, implants, lab testing kits and everyday medical supplies such as syringes and gloves. Electronic equipment accounts for more than half of the market currently. The India medical devices market ranks fourth in Asia, behind only Japan, China and South Korea.

The Impact

India’s medical devices manufacturing ecosystem is spread across 21 clusters in nine states, with over 700 companies. In 2023, these clusters produced devices worth nearly US$ 6 billion, with about 54% sold in India and the rest exported. Most of the companies in these clusters are small or medium enterprises. States such as Uttar Pradesh have the most manufacturing clusters, while Maharashtra and Andhra Pradesh are home to many large companies.

Exports of medical devices from India touched US$ 3.78 billion in 2024, depicting modest but steady growth over the last few years, with products such as disposables and consumables (gloves, syringes, etc.) accounting for the largest share of exports. Products such as implants and lab diagnostic kits have been the fastest-growing export items.

India continues to face a trade deficit in medical devices, largely due to the increasing import of electro-medical equipment. However, over time, the country has strengthened its position in consumables and disposables, where imports are now declining at an average rate of 7% annually.

The Support

To help the industry grow, the Indian government has introduced several policies and programmes, as follows:

National Medical Devices Policy (2023) aims to make medical devices more affordable and easily available, while encouraging innovation and investment.
As of April 2023, under the Production Linked Incentive (PLI) scheme for this sector, 26 projects with a committed investment of around INR 1,200 crore had been approved.
Medical device parks are being developed with government funding, offering shared facilities to help new businesses.
India allows 100% foreign direct investment (FDI) in medical devices’ manufacturing, which has already brought in nearly US$ 3.73 billion.
The PRIP scheme supports research and development, with funding to create Centres of Excellence to boost innovation.
Another scheme, Scheme for Strengthening of Medical Device Industry (SSMDI), has been launched by the Department of Pharmaceuticals for improving the infrastructure ecosystem for this sector.

The Future

India’s medical devices sector is no longer just about reducing imports. It’s about building high-quality products, exporting globally and becoming a leader in healthcare technology.

With strong policy support, a growing base of manufacturers and increasing export numbers, India is moving closer to becoming a global hub for medical devices. The industry has the potential not only to meet the healthcare needs of India’s population but also to supply the world with reliable, affordable and innovative medical products.

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