India’s healthcare industry is expected to grow to hit $50 billion in size by 2025, said Union minister Jitendra Singh. Addressing the 14th CII Global MedTech Summit, “Seizing the Global Opportunity”, the minister said that under Prime Minister Narendra Modi, healthcare has become more focused on innovation and technology over the past two years. About 80% of the healthcare system aims to increase investment in digital healthcare tools in the coming five years.
Becoming Self-Reliant :
The minister added that the prime objective of the government is to reduce import dependence from 80% to below 30% in next 10 years and ensure self-reliance quotient of 80% in med-tech through Make in India with SMART milestones. Towards this, the Indian government has undertaken structural and sustained reforms to strengthen the healthcare sector and has also announced conducive policies for encouraging FDI. This has led to a change in trend, with the country becoming a hotbed of MedTech innovation and instead of adopting western products, Indian innovators are developing path breaking MedTech products and solutions. India has reached an inflection point, which is leading to rapid expansion of HealthTech/ MedTech ecosystem, he said.
New Areas & Potential:
“Telemedicine is also expected to reach $5.5 billion by 2025. e-Sanjeevani, a Ministry of Health & Family Welfare conceived technical intervention, has enabled virtual doctor consultations and connected thousands of people living in remote parts of the country with doctors in major cities while sitting in the comfort of their own homes,” Singh said. “India has all the essential ingredients for the exponential growth in this sector, including a large population, a robust pharma and medical supply chain, 750 million plus smartphone users, 3rd largest start-up pool globally with easy access to VC funding and innovative tech entrepreneurs looking to solve global healthcare problems.”
The minister noted that the pandemic has provided an additional impetus by changing the scenario of doing business in this sector. He said that it has opened massive opportunities for the healthcare sector especially in niche areas like tele- consultation, AI-based diagnostics and remote healthcare management.
“It is expected that India becomes one of the top markets in medical devices upwards of 14% – 15%. This global position is attainable by achieving the targets set in the National Infrastructure Pipeline 2020, to build 73 new medical colleges to increase domestic consumption and improve healthcare infrastructure.”
The minister added that India aims to achieve 10-12% of the global market share of medical devices industry to arrive at a $100 billion to $300 billion industry, adding that the country will have about 50 clusters for faster clinical testing of medical devices to boost product development and innovation. He said the sector will be driven by life expectancy, shift in disease burden, changes in preferences, growing middle class, increase in health insurance, medical support, infrastructure development and policy support and incentives.