The Medical Technology Association of India (MtaI), an association of research-based medical technology companies, has put forward some key recommendations for the consideration of the policy makers that would pave the way for a more enabling environment for the medical devices industry in the country.
At a MedTech Summit held in New Delhi recently, the industry leaders stressed that in view of recent policy changes in the medical technology space, there is a need for the sub-sectoring and sub-categorization of medical devices on the basis of the engineering complexity, for policy and decision clarity.
Import substitution as a focus of policies needs to be replaced with greater efforts directed towards ensuring global competitiveness through export promotion and meeting global quality standards. The recently presented NITI Aayog action agenda recognizes the significance of global companies’ presence for the domestic industry to compete with and grow.
Make in India, a noble initiative, should however be implemented in a phased manner. It must focus on the devices that have the potential to be made locally in the short run, instead of the advanced technologies that require a more enhanced ecosystem and know-how that may take years to develop in the country.
This means that policies must factor in the existing gaps in the domestic manufacturing industry, and promote ease of doing business by way of reduced inter-organizational delays, enhanced startup industrial finance, simplified regulations such as single-window clearance, and greater investment in infrastructure. Sanjay Bhutani, director, MTaI asserted, “the industry continues to be largely under- understood and under prioritized.”
Another key recommendation put forth at the Summit was to expand the bed capacity in the country. This is particularly crucial given the rising burden of diseases in the country today and the lack of access to quality healthcare. Many pockets of the country remain underserved, and are calling out for real-time scaling up of solutions to address this demand. The expansion of the healthcare delivery system will automatically provide an impetus for the medical devices market to grow.
Further, for long term advantage, infrastructural development and fiscal incentives are needed to keep the wheels of innovation and R&D rolling. This will simultaneously help achieve the twin objectives of greater patient access as well as the availability of latest and high-quality technology.
MTaI endorses the Trade Margin Rationalization Report of the Department of Pharmaceuticals, provided unique and deserving sub-sectoral nuances are given due consideration.
Any access enhancing (price control) mechanisms must be preceded by a careful impact analysis on creation of geographical access barriers, on quality of outcomes, reverse medical tourism, and decreased incentive to innovate.
The MedTech Summit today brought together the much needed interface of policy makers, industry, doctors with the patients. Key departments and ministries such as the ministry of commerce and industry, department of health and family welfare, and the NITI Aayog were represented at the Summit. The medical technology industry was represented by top MedTech companies including inter alia Abbott Vascular, Alcon, Bard, Bausch & Lomb, Boston Scientific, Johnson & Johnson, KARL STORZ, Medtronic, Olympus, Terumo, and Vygon India.