Automed Systems Private Limited, an ISO 9001-2000 company, has recently floated a new medical devices arm and signed a pact with HMB Endoscopy to offer high quality endoscope instruments at an affordable cost to hospitals in the country. These hospitals are in semi urban and rural area including the primary health centres.

This initiative by Automed is primarily driven by the need to expand its services offering from a mere life science services company engaged in marketing processes and instrumentation for Drug Discovery, Microbiology, Biotechnology, Liquid handling, Temperature control, Sterilization and Validation applications on behalf of the global majors.

The US-based HMB Endoscopy, a division of HMB Healthcare Inc., is an industry leader and a primary source for high quality endoscope products. The company focuses on purchase, sale, repair and trading of instruments manufactured by leading players including Olympus, Pentax and Fujinon to name a few.

Automed will import the endoscopes from HMB and refurbish with OEM parts in India by packaging the same to suit Indian hospitals in the small and medium segment located in the tier II and III cities and districts. These instruments will carry a two year warranty and will meet regulations as specified in the FDA. The advantage for India is that its hospitals can access high quality and high end instruments at an affordable cost supported with prompt service along with a 90 day upgradation plan.

A prevailing trend in the medical devices sector is import of equipment and instruments which are available at low prices. Many hospitals in the country cannot afford high-end equipment and this availability of low cost and high performance range will help patients to have the benefit of better diagnosis.

In fact, there has been a positive response from the healthcare providers, Bhanu Prakash, director, Automed Systems told Pharmabiz. The biggest advantage is that these pre-owned instruments meet the regulatory guidelines, he added.

Going hand-in-hand with the endoscope products is its foray into the indigenous x-ray machines and dental chairs which are manufactured by third party associates in the country.

Medical devices are generally divided into class I, II and III, based on the level of risk to users/patients, corresponding to logical risk evaluations conducted by the FDA. The medical instruments and equipment handled by Automed are in the low risk classification.

Currently, the Rs 1000-crore diagnostic and imaging equipment industry, to a large extent dominated by GE, Philips Medical Systems, Siemens, and is growing at a rapid pace of 20 per cent annually. "We will focus on private medical services providers that offer cost-effective medical benefits to urban and rural patients," he said.

The company, which registered Rs 8.5 crore revenues ending March 2008 is confident to register Rs 12 crore turnover next fiscal where medical devices business will provide a substantial contribution of sales earnings, informed the Automed chief.