India’s medical devices industry has grown tremendously over the years. The medical devices sector in India comprises large multinationals, small and midsized companies. India is the 4th largest Asian medical devices market after Japan, China, and South Korea, and among the top 20 medical devices markets globally.
According to industry experts, the size of the Indian medical devices market is estimated at $16-17 billion and is expected to grow to $50 billion by 2030 and the sector has been growing steadily at over CAGR of 15% for last three years.
In an email interaction with Financial Express.com, Himanshu Baid, Managing Director, Poly Medicure Ltd. talked about the evolving landscape of medical technology in India and beyond. He also shared Poly Medicure’s upcoming plan, his vision for the industry and more. Excerpts:
How is the medical devices industry evolving in India? How is it different from global trends?
India’s medical technology sector is undergoing a remarkable transformation, driven by a rapidly expanding healthcare landscape and robust government initiatives aimed at fostering innovation. The medical devices industry, encompassing both large multinationals and small and medium enterprises (SMEs), is growing at an unprecedented rate. Over the past five years, the export of medical devices has achieved a compound annual growth rate (CAGR) of 9-11%.
Currently valued at around $15 billion, India’s medical device industry is projected to grow at a staggering CAGR of 18-20%, reaching around $50 billion by 2030. This growth trajectory is supported by initiatives like the Production Linked Incentive (PLI) scheme and Atma Nirbhar Bharat, which emphasize innovation and global collaboration, setting new benchmarks in healthcare delivery. The vision for Med-Tech in India by 2030 aims to create a robust, self-sustaining ecosystem that not only meets domestic healthcare demands but also positions India as a global leader in Med-Tech manufacturing and innovation.
What are the key challenges that the medical devices industry is facing in India? How can the status be improved?
India’s Med-Tech industry is experiencing remarkable growth, but it does face certain challenges that, if effectively addressed, can enhance its potential. One significant challenge is the reliance on imported medical devices, with approximately 80% of critical devices coming from abroad. Indian medical device manufacturers are facing significant challenges due to the inclusion of all raw materials used in medical devices under the Quality Control Order. Many suppliers are unable to register with BIS because of time and cost constraints, leading to potential halts in domestic manufacturing and increased reliance on imports. With this, there is a looming risk of raw material shortages, particularly for polypropylene and HDPE, after the QCO implementation date, threatening supply opportunities both in India and globally.
Government should also implement measures that address the reuse of medical devices, as it poses significant risks of infection and complications for patients. By establishing clear regulations and guidelines, we can enhance patient safety and ensure that healthcare providers are equipped with the necessary tools to protect their patients’ well-being. We are optimistic about the ongoing regulatory reforms and infrastructure development initiatives, which are paving the way for a more robust Med-Tech ecosystem. By fostering a culture of innovation and collaboration, we believe we can overcome these challenges and solidify India’s position as a global leader in Med-Tech. This progress will significantly contribute to improving healthcare outcomes in India and worldwide, aligning our industry with the
recognition and respect that the pharmaceutical sector has achieved.
What are your upcoming business growth plans for FY25? Are there any expansion plans?
Our strategic priorities for FY25 are centered around portfolio growth and expanding our manufacturing footprint. We plan to invest Rs. 500 crore in scaling up our existing facilities and pursuing strategic acquisitions that align with our long-term goals. Polymed is focusing on key transformative areas: critical care, oncology, cardiology and dialysis. In addition, we aim to introduce a few new products annually across our other therapeutic segments, including infusion therapy, gastroenterology, vascular access, transfusion, urology, anesthesia & respiratory care, surgery & wound drainage, and diagnostics. We are keen to deepen our presence in the European market, while also targeting growth in the US and Latin American markets.
What are your upcoming plans for your product portfolio? Are you planning to diversify into new areas?
We are focusing on three transformative areas that Polymed has entered in recent years. First, in interventional cardiology, we also plan to expand into cardiac surgery products. Our goal is to deepen our presence in cardiology over the next 5-7 years, necessitating significant investment in advanced technology. Second, in critical care, we have a strong portfolio of oncology care products, and we are developing cutting-edge devices aimed at enhancing drug delivery efficiency.
Third, our renal business, which we launched a few years ago, is projected to capture around 12-13% of the domestic market share by the end of this year, with plans to expand globally. In all these areas, we are committed to enhancing our manufacturing capacity by establishing new facilities and driving innovation to meet the growing demand in these vital healthcare segments.
You have a strong presence in over 125 countries. Are there any plans to further strengthen your global presence?
We are dedicated to doubling our exports to Europe and pursuing expansion into the US and Latin America. Our strategy involves seeking out partnerships and acquiring companies with technologies that can help us scale our business.
Anything else that you would like to add?
The Indian Med-Tech sector is on a remarkable trajectory toward becoming a significant contributor to our economy, akin to the recognition that the pharmaceutical industry has achieved. As we innovate and expand our capabilities, this sector is poised to play a pivotal role in improving healthcare outcomes both in India and globally. At Poly Medicure, we are committed to driving this transformation. Our expansion plans include enhancing our manufacturing capabilities and investment in cutting-edge technologies. By focusing on high-growth areas such as cardiology, critical care, and renal care, we are not only meeting the increasing demand for advanced medical devices but also positioning ourselves as leaders in these critical segments. Through our commitment to innovation, we aim to set new benchmarks in healthcare delivery. As the Med-Tech sector evolves, we are excited about the opportunities that lie ahead and are dedicated to contributing significantly to the overall improvement of healthcare in India and beyond.
