Despite Make in India, India imports 70% of medical devices: Study

Hyderabad: Association of Indian Medical Device Industry (AiMeD) and Consocia Advisory have highlighted the challenges facing the medical technology sector in India.

A white paper released on March 24, 2025 has called for immediate policy interventions to reduce the dependence on medical device imports.

Despite initiatives like Make in India and Start up India, the study has found high economic vulnerability as India currently imports nearly 70% of the medical device requirements. The dependence is so high on critical healthcare equipment that importing ventilators alone causes an annual foreign exchange outflow of ₹950 crore.

During the 2023-24 financial year, the medical technology import in India is estimated at $8.2 billion, further exposing the dependence on imports even as the exports stood at $3.2 billion, much lower than the import. The Confederation of Indian Industry (CII) has predicted that with strategic policy support, exports could shoot to $15-20 billion by 2030.

Untapped domestic potential

India annually produces 39,600 invasive ICU ventilators, though the demand is around 9,000 to 12,000 units. Despite the high production, the industry continues to import invasive ICU units, undermining the capacity of the domestic manufacturers, the report has identified.

The report also points to the regulatory barriers as a significant roadblock. A Department for Promotion of Industry and Internal Trade (DPIIT) report from November 2024 identified 1,502 tenders worth ₹63,911 crore as non-compliant with local preference rules.

The foreign suppliers have an upper hand in the Certification challenges and reducing imports.

Obtaining international certifications like CE (Europe), FDA (USA) remains a challenge for Indian manufacturers, though they easily obtain the domestic certifications as per the established standards. The report strongly urges for government-supported mechanisms to validate and showcase the quality of indigenous medical devices.

Rajiv Nath, Forum Coordinator of AiMeD, explained the strategic importance of reducing import dependence. "Becoming Aatma Nirbhar (self-reliant) is not just an economic goal, but a necessity," he said.

He projected that reducing import reliance from 70% to 35% by 2030 could generate over 1.5 million jobs and establish India as a significant medical device exporter.

Recommendations of the paper

The white paper presents a set of recommendations, including removing critical medical devices from global tender lists, aligning standards with international frameworks, and providing R&D support.

The report also calls for making Indian standards mandatory for imported medical equipment if such standards are available, ensuring lower duty on components in comparison with the low import duty on finished products besides insisting on the need to improve infrastructural facilities for testing and manufacturing.

With the medical technology sector projected to expand from $12 billion to $50 billion by 2030, the report serves as a wake-up call for policymakers and industry leaders to prioritize indigenous manufacturing and innovation.

By ensuring the manufacturing of medical equipment in India, employment generation can be increased, ensure healthcare security and a boost to the economy, the report insists.