India’s Healthcare Shift and the Role of Medical Equipment
India’s healthcare sector is undergoing a fundamental transformation, influenced by population dynamics, shifting disease profiles, digital advancements, and strategic policy reforms. A key catalyst in this evolution is the growing demand for medical equipment, ranging from basic diagnostic tools to complex life-saving technologies. This section explores how the COVID- 19 pandemic reshaped India’s healthcare trajectory and positioned medical devices at the forefront of public health priorities.
Why Medical Equipment is Central to India’s Health Infrastructure?
Medical equipment is not just an accessory to treatment, it is foundational to the entire healthcare delivery value chain. Its relevance spans the full continuum of care:
Primary Care: Rapid diagnostics, point-of-care testing kits, and basic monitoring devices enable faster screening and early intervention in rural and underserved regions.
Secondary and Tertiary Care: Sophisticated imaging, critical care equipment, surgical devices, and rehabilitation tools are essential for accurate diagnosis, surgical procedures, and post-operative care.
Emergency Preparedness: ICU ventilators, oxygen concentrators, and portable X-ray systems were instrumental during COVID and remain crucial in disaster and pandemic response.
Non-communicable Disease (NCD) Management: With rising cases of diabetes, hypertension, and cardiac conditions, long-term monitoring and homecare devices are seeing increasing uptake.
Telemedicine and Digital Integration: Smart devices integrated with AI, IoT, and cloud platforms enable remote consultations, reducing the load on tertiary institutions.
The significance of medical equipment also stems from India’s dual healthcare goal:
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- Improving access and affordability in Tier II/III cities and rural areas
- Ensuring advanced care in metro clusters, including medical tourism hubs
Changing Market Dynamics of Medical Equipment in India
Import to Indigenous – Atmanirbhar Push
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- MedTech Parks located in:
Tamil Nadu, Himachal Pradesh, Madhya Pradesh, Andhra Pradesh - Key Domestic Manufacturers:
Meril Life Sciences, Trivitron Healthcare, Skanray Technologies
- MedTech Parks located in:
- Policy & Innovation Drivers:
75-80% of medical devices are imported, now gradually declining Production Linked Incentive (PLI) Scheme promoting high-end device manufacturing Regulatory tightening under MDR; QMS compliance mandatory from Oct 2024
Rise in R&D, healthtech startups, and innovation hubs under Startup India
- Private Sector & Diagnostic Chains Expansion
- Over 60% of hospital beds in India are managed by the private sector, underscoring its dominant
role in healthcare delivery. - Rapid penetration into Tier II and Tier III cities is bridging the accessibility gap and expanding
patient reach. - There’s a significant growth in diagnostic chains and home healthcare services, driven by rising
demand for preventive and point-of-care testing.
- The sector is witnessing increased adoption of advanced technologies, including AI- powered
diagnostic tools, equipment leasing models, and digital health platforms for improved efficiency
and patient outcomes.Changing Market Dynamics of Medical Equipment in India
Tech-Driven Evolution in 2024-2025-
- Over 65% of new device innovations in India are now incorporating digital technologies (AI, IoT,
cloud-based diagnostics). - Rise in point-of-care (PoC) devices for faster, decentralized diagnostics in rural and semi-urban
areas. - Robotics adoption in surgeries expected to grow at 25% CAGR by 2027.
- Over 65% of new device innovations in India are now incorporating digital technologies (AI, IoT,
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- Over 60% of hospital beds in India are managed by the private sector, underscoring its dominant
Changing Care Delivery Models
– Boom in home-based care: Remote monitoring devices and telehealth tools surged post-COVID.
– India now has over 5,000 tech-enabled diagnostic labs.
– Demand for portable imaging and diagnostic solutions is reshaping product design trends
Emerging Focus Areas
– Growth in implantable medical devices, including orthopedic, cardiovascular, and dental
implants.
– Strong traction in 3D-printed medical devices and custom prosthetics.
– Surge in wearable medical tech, including real-time health trackers, smart patches, and
biosensors.
Market Trends Snapshot
– Indian Medical Equipment market projected to reach USD 50 billion by 2030.
– 15%+ YoY growth led by preventive care, diagnostics, and ageing population.
– India accounts for ~1.5% of global MedTech market, but rising rapidly with policy and R&D push.
Technology Partnerships & Collaborations
– Growing co-development projects with global players (Japan, Germany, US).
– Indian startups entering international regulatory pathways (US FDA, CE mark) faster than
before.
– Increasing interest from Venture Capital and Private Equity funds in MedTech and digital health
ventures.
Technology Revolution in Indian MedTech
1. Rise of AI-Based Diagnostic Devices Examples: Qure.ai, Niramai
Applications:
– Interpreting X-rays
– Thermal imaging for early detection
2. Development of Indigenous Robotic Surgery Systems
– Example: MISSO by Meril
– Key Feature: Minimally invasive surgeries with localized innovation
3. Use of 3D Printing in Orthopedic & Dental Implants
Applications:
– Customized prosthetics and implants Enhanced precision and fit
4. Smart Monitoring Devices and Remote Patient Management
Technologies:
– Wearables and home-use monitoring devices
– Connected devices for vital tracking
– Teleconsultation enabled care
5. Telemedicine & IoT Integration into Diagnostic Equipment
Features:
– Real time health data transmission
– Integration with wearables and diagnostic platforms
India’s Shifting Position in the Global MedTech Landscape
Policy push for domestic growth
– National Medical Devices Policy (2023): Structured roadmap to reduce import dependence and
boost domestic innovation.
– PLI Scheme: ₹3,420 crore incentive for domestic manufacturing of high-end medical devices.
– 4 MedTech Parks: Located in Andhra Pradesh (AMTZ), Telangana, Tamil Nadu, and Himachal
Pradesh, offering shared testing and R&D infrastructure.
Innovation surge
– Homegrown Startups: Rise of companies like Meril, Trivitron, Forus Health, and Dozee.
– Tech Focus: AI-powered diagnostics, surgical robotics, and smart ICU monitors.
– Support Ecosystem: Backed by BIRAC, DBT, and KIHT for R&D and prototyping.
Digital expansion & export growth
– Ayushman Bharat Digital Mission (ABDM): Promoting EHRs, telemedicine, and digital patient
journeys.
– IoT & Mobile Health: Growth in connected diagnostics, wearables, and remote care solutions.
Global expansion & export growth
– Export Value: ₹27,000+ crore in 2023-24, with ~12% CAGR.
– Top Exports: Syringes, diagnostic kits, X-ray and ultrasound machines.
– Market Demand: Rising in Africa, ASEAN, Latin America, and the Middle East.
– China+1 Strategy: India benefiting from diversification in global sourcing.
Vision 2030: india’s medtech ambitions
– Top 5 global medical device manufacturing hub.
– 70-80% self-reliance in key medical equipment segments.
– $10-12 billion in exports by 2030.
– 1 million+ jobs in the MedTech ecosystem.
India’s MedTech: Gearing Up for Global Markets
From Import-Driven to Export-Ready
– India is transitioning from being a heavy importer (75-80%) of medical devices to building export
capabilities.
– Strong policy push and local manufacturing drive export-readiness across MedTech segments.
Key Export Products
– Disposables (syringes, gloves, catheters) Surgical kits & tools
– Diagnostics equipment (testing kits, devices)
FTAs Driving Market Access
– India-UK FTA (2025): Zero duty on medical devices.
– Enhanced competitiveness in global markets via FTAs with UK, UAE, and others.
India as a Global Hub
Strengthened by:
– PLI Scheme for MedTech
– MedTech Parks & infrastructure (e.g., AMTZ) Increased R&D investments and startup
innovations
Startup Ecosystem & Industry Disruption in Indian MedTech
1.Invest in High-Tech Equipment & R&D
– Accelerate domestic production of advanced diagnostics, surgical robots, and implantable
– Strengthen public-private MedTech R&D clusters
– Encourage clinical trials and product innovation zones
2.Incentivize Local Innovation & Global Tech Transfer
– Offer tax breaks, patent subsidies, and fast-track regulatory clearances
– Facilitate technology transfer and international co-development partnerships
– Leverage Make in India along with global IP frameworks for scalable innovation
3.Strengthen Export Ecosystem
– Align with global standards (US FDA, EU MDR) to boost credibility
– Develop export hubs equipped with testing, certification, and logistics facilities
– Support CE/FDA approvals for companies targeting international markets
4.Skill India for MedTech
– Introduce biomedical engineering and MedTech-specific training programs
– Embed AICTE/NSDC certification into skilling for manufacturing and services
– Bridge the academic–industry gap through tailored, hands-on curriculum
5.Embrace AI, IoT & Robotics
– Advance the adoption of AI-driven diagnostics, IoT-based remote monitoring, and robotic
surgery
– Develop policy and regulatory frameworks for validation, data ethics, and safety
– Establish national sandbox zones and test beds for piloting new MedTech technologies
Policy-Driven Innovation: Government’s Role in Enabling Growth
1.National Medical Device Policy 2023 – A Strategic Shift
– Focuses on making India a global MedTech hub through innovation, investment, and
infrastructure.
– Encourages R&D, skill development, and regulatory streamlining.
– Aims to reduce import dependence and foster self-reliance (Atmanirbhar Bharat).
– Policy built around six pillars: regulatory streamlining, infrastructure development, skilling,
innovation, trade facilitation, and global positioning.
2.Production Linked Incentive (PLI) Scheme Outcomes (2020-2025)
– ₹3,420 crore outlay to support 42 selected high-tech medical device manufacturers.
– Encouraged domestic production of MRI machines, CT scanners, ventilators, implants, etc.
– Triggered investments in infrastructure and global-standard manufacturing capabilities.
– Early outcomes show a rise in exports and reduction in critical device imports.
3.Regulatory Reforms by CDSCO (Central Drugs Standard Control Organisation)
– Gradual transition of all devices under licensing by 2025.
– Implementation of Medical Devices Rules (MDR), 2017 for risk-based classification.
– Introduction of mandatory Quality Management Systems (QMS) compliance under ISO 13485
from October 2024.
– Simplified approvals for clinical trials and innovation-led devices.
4.Enabling Infrastructure – MedTech Parks & Innovation Hubs
– Establishment of 4 MedTech Parks in Tamil Nadu, Himachal Pradesh, Madhya Pradesh, Andhra
Pradesh to create cost-effective ecosystems.
– Andhra Pradesh MedTech Zone (AMTZ): India’s first integrated medical device manufacturing
park, with testing labs, prototyping centers, and regulatory support.
– KIHT (Kalam Institute of Health Technology): Supports translational research, evaluation
standards, and industry-academia collaboration.