| |NOVEMBER 20228After ramping up production to meet the steep demand spike during the COVID-19 pandemic, Indian medical device makers are now struggling with the idle capacity. According to Industry estimates, around one third of the installed capacity, especially for consumables, disposables, small ticket electronic items, etc. is lying unused. Industry experts said that one of the reasons for huge drop in demand is the rise of imports from China.India is Asia's fourth largest medical device market and one of the top 20 worldwide. The market for medical devices in India is expected to grow at a 35.4 per cent Compound Annual Growth Rate (CAGR), with the overall market valued at $11 billion in 2020 and $50 billion by 2025. Imports on the other hand, currently supply the bulk of the country'smedical device market, accounting for 80 per cent of overall sales. Demand to Invest under PLI Scheme is MuteThe Government of India is making efforts to boost local manufacturing through the Production Linked Incentive (PLI) scheme. There are many local manufacturers who are stuck with idle capacity. Therefore, the demand to invest under the scheme would be muted. Hence, the government should take some corrective measures to keep investors motivated HOW ONE-THIRD OF INDIA'S MEDICAL DEVICES CAPACITY LYING UNUSEDTHE PANORAMA
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