The government of India is planning to set up a dedicated zone for medical devices manufacturing and the first medical devices and equipment park would come up in India’s western state of Gujarat.
“We are taking a cluster approach for developing the medical device sector in the country and first such medical device park would come up in Gujarat,” Indian Minister of State Chemicals and Fertilisers Srikant Jena told PTI on the sidelines of a Federation of Indian Chambers of Commerce and Industry (FICCI) conference.
According to Ministry officials, the total investment in the park would be more than Rs 300-350 crore(US$65 million), and work construction on the park is likely to begin by November this year.
According to industry estimates, the total market for medical devices in the world is estimated at around US$200 billion, which is growing at the rate of 4.5 per cent annually.
India, however, accounts less than one per cent of the total global market for these products and imports accounts for 65 per cent of the domestic market.
The pre-feasibility study for setting up the greenfield ‘Medical Devices and Equipment Park’ was carried out by the financial services firm, IL&FS.
It has submitted a report to the ministry after the Gujarat government showed interest in setting up the park near Ahmedabad.
The Department of Pharmaceuticals under the aegis of Chemicals and Fertilisers ministry has also ordered the National Institute of Pharmaceutical Education and Research (NIPER) to conduct a market study on the sector along with consultancy firm, Frost and Sullvian.
“The study would act as a basis for the government’s action in future,” Department of Pharmaceuticals Secretary Ashok Kumar said.