India's medtech industry goes local to develop high-end equipment

 

With 80 to 85 per cent of the country’s needs for medical devices currently being met through imports, both the Indian government and medtech manufacturers are looking to accelerate projects to indigenously develop high-end equipment.

 

Taking steps towards this, the All India Institute of Medical Sciences (Aiims), New Delhi, last month announced its plans to install the country’s first indigenously developed 1.5 tesla magnetic resonance imaging (MRI) machine by October this year. The project is to be trialled in partnership with the Society for Applied Microwave Electronic Engineering and Research (SAMEER), an autonomous body under the Ministry of Electronics and Information Technology.

 

Similarly, Bengaluru-based medical device maker Voxelgrids Innovations, which claims to be the first and the only indigenous manufacturer of MRI scanners in India, has already received a licence from the Central Drug Standards Control Organisation (CDSCO) for commercial manufacture and sales.

 

According to the Department of Pharmaceuticals' annual report for 2024-25, India imported medical devices worth $8.1 billion, while exports stood at $3.7 billion in the financial year 2023-24 (FY24).

 

The move not just aims to increase self-reliance, but also ensures affordability.

 

Arjun Arunachalam, founder and CEO, Voxelgrids, told Business Standard that the company’s MRI machine can cost approximately 50 per cent less compared to the value and performance of MRI products offered by other vendors.

 

On an average, a 1.5 T MRI machine can cost anywhere between ₹3 crore to ₹4.5 crore for hospitals.

 

“The company has completed its first sale this year, and will be focusing on its MRI machines portfolio for the time being,” he added.   

 

High-end medical devices include advanced technologies used for screening, monitoring, observation, diagnosis, or treatment, often with high costs and complex functionalities, including devices like PET/CT scanners, MRI machines, and surgical robots. 

 

Work on to develop artificial heart, remote robotic surgery units

 

A seven-member multi-disciplinary team of experts from the Indian Institute of Technology (IIT), Kanpur is at the centre of the development of Hridayantra, the country’s first indigenously developed left ventricular assist device (LVAD), which works as an implantable mechanical blood pump.

 

The team working at IIT Kanpur said that the design target aims to allow the artificial heart to function for 10 to 12 years while the patient leads a life of good quality.

 

“A prototype of the artificial heart has been developed, and we are now in the process of obtaining all the essential ethical approvals for animal testing, followed by exacting clinical trials,” the team added.

 

Following regulatory approvals, the IIT-K team expects the implantable device to be ready for commercialisation by the end of 2027.

 

While a LVAD may cost between ₹70 to 80 lakh, IIT-K’s prototype is expected to cost between ₹10 to 15 lakhs. 

 

Similarly, Gurugram-based SS Innovations is working on developing a pediatric surgical robotic system and a mobile operating room that meets all required standards necessary to conduct surgery.

 

The company had recently launched India's first mobile tele-robotic surgery unit, SSI Mantra.

 

Sudhir Srivastava, founder, chairman and CEO, SS Innovations, said that by making our surgical robotic system indigenously, we have made great efforts to help bring down the running costs of not only the system, but for the instruments and consumables as well.

 

Experts believe that such indigenous projects are expected to drive down treatment costs.

 

Himanshu Baid, managing director of medical device maker Poly Medicure, said that one of the primary cost drivers in surgical procedures is the reliance on expensive imported medical devices, which come with high procurement costs, maintenance expenses, and recurring consumable costs.

 

“By manufacturing these technologies within India, costs can be significantly reduced due to lower production expenses, reduced import duties, and locally available spare parts and consumables,” he added.

 

Another industry executive added that lower device costs directly translate into reduced hospital charges, making critical procedures more within reach for a larger population. 

 

 

“Locally developed devices ensure faster service and support, minimising downtime and improving patient outcomes,” the executive said.

 

The move towards manufacturing high-end devices also assumes significance as CDSCO last month disallowed all imports of pre-owned and refurbished devices over concerns of patient safety, providing a window for domestic manufacturers working under PLI or their own projects.

 

Experts indicate that the high-end devices market was usually dominated by pre-owned, refurbished devices imported from countries such as the US, Germany and Singapore.

 

Rajiv Nath, forum coordinator of Association of Indian Medical Device Industry (AiMeD), said that the move has provided domestic manufacturers a level playing field by stopping the import of refurbished devices, with domestic manufacturers facing reduced competition from cheaper, imported alternatives.

 

“The pre-owned medical equipment market is currently valued at ₹1,500 crore and can constitute around 10 per cent of the total medical equipment industry in India, playing a critical role in meeting the growing demand in Tier-II, -III, and -IV cities, as well as rural and underserved areas,” an executive with another medical device association said.

 

Nath added that with refurbished imports restricted, domestic manufacturers can better predict market demand, encouraging them to invest in indigenous development.  

Development of MRI machines, Left Ventricular Assistance Devices (LVAD), robotic surgery systems among ongoing high-end device projects.

 

Experts believe such projects could help in lowering medtech imports, which stand at 80-85% of country’s needs 

 

Made in India devices could cost 50% less than imported ones available in the market  

 

Pivot to indigenous projects comes even as the Govt stopped import of refurbished devices.

 

Valued at around Rs 1,500 cr, refurbished devices constitute around 10% of total medical equipment in India