Sector

Medical Device & Pharma

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INDIA SCENARIO

India is the 4th largest market for medical devices in Asia, amongst the top 20 markets globally.

The current market size of the medical devices industry in India is estimated at $11 Bn. The medical devices industry in India consists of large multinationals as well as small and medium enterprises (SMEs) growing at an unprecedented scale.

  • FDI up to 100% under the automatic route is permitted for manufacturing of medical devices. Strong FDI inflows reflect the confidence of global players in the Indian market
  • $3.28 Bn FDI inflows in Medical and Surgical Appliances
    from Apr 2000 to Mar 2024
  • For further details, please refer  FDI Policy, Government of India

UTTAR PRADESH SCENARIO

  • Sector Momentum : The pharmaceutical and medical device sector in Uttar Pradesh has experienced significant growth in recent years.
  • Focus Sector : It has been officially recognized as a focus sector in the state’s industrial policy.
  • Investment Highlight : The Global Investor Summit held in February 2023 emphasized the sector’s potential, attracting substantial investment.
  • Proposed Investments : A total of 217 companies have proposed investments amounting to nearly INR 28,500 crores in this sector.
  • Job Creation : These investments are expected to create approximately 57,000 job opportunities.
  • Economic Impact : The local economy is likely to benefit significantly from this sector’s growth.
  • Recognised as a sunrise sector of india under make in india campaign of 2014
  • Market size expected to reach $50 Bn by 2025
  • India is the fastest growing medical devices market amongst the emerging markets
  • 0% Market Growth Rate (expected)
  • 0+ Types of Medical devices in India
  • 0% The market share to increase to 10-12% over the next 25 years

DOMINANT INDUSTRY FORCES

KEY DEVELOPMENT IN THE INDUSTRY

Research & Development
(R&D) Base

Base of 18 World-Class Pharma Research Institutes viz. CSIR (Lucknow), NIB-Noida, IITR-Lucknow, King George Medical University, Lucknow and NBRI etc.

Human Resource
Development

The state benefits from 208 Medical, Bio-Technology, and Pharmacy colleges, which play a crucial role in developing a skilled workforce for the industry

Rural Health Services

UP has implemented initiatives to strengthen rural health services. Deployment of doctors and healthcare professionals in rural areas ensures better healthcare access for the population

Healthcare Infrastructure

State has strong presence of a combined total of more than 30,000 SCs, PHCs, CHCs and sub-district hospitals

Jan Aushadhi Pariyojana
Centers

Rapidly growing 'Jan Aushadhi Pariyojana Centres' 01 lakh pharmacists and 86,000+ retail pharmacies

Telemedicine and E-Health

They allow patients in remote areas to consult doctors remotely. E-health initiatives, including electronic health records and online appointment systems, streamline healthcare delivery

Maternal & Child
Health Programs

Programs like Janani Sura ksha Yojana and Mission Indradhanush focus on safe deliveries, immunization, and improved healthcare for mothers and children

POLICIES & SCHEMES

Capital Subsidy @15% of investment upto Rs 200 Cr to be provided in 5 annual installments
Interest Subsidy for setting up common boiler @35% (for solid fuel), @50% (for clean fuel) of fixed installment cost upto Rs 2 Cr
Support for Clinical Trials @ 75% of total expenditure reimbursement
Interest Subsidy @5% p.a. for 5 years on loan taken for procurement of P&M, for building infra self-use upto Rs 1 cr p.a per unit; @50% p.a. for 5 years for research quality improvement upto Rs 2 Cr per unit
Quality Certification Subsidy @75% of cost incurred for ISO certification and 50% of cost incurred for BIS certification
Stamp duty exemption @100%
Patent Filing Subsidy @ 100% of actual filing costs on domestic patents; @50% of actual filing costs on international patents
Electricity duty exemption @100% exemption for 10 years to all new units
Interest subsidy for loan to set up waste management setup @50% annual for 5 years upto Rs 10 lakh
Support for setting up R&D institutes @60% of annual interest on loan taken
For Contract/sponsored research @50% subsidy on eligible project cost to institutes situated in UP

KEY INVESTMENT OPPORTUNITIES

  • Telemedicine

    Establishing dedicated telemedicine hubs of doctors through public-private-partnerships

  • Paramedical

    Development of paramedical education infrastructure - public-private-partnerships for running Nursing & Paramedical Colleges co-located in Government Medical Colleges

  • AL/ML in Healthcare

    Establishing Al/ML based-diagnostic centers / developing AI/ML solutions to convert varied demographic and epidemiological profile into an advantage

  • Infrastructure

    Development of specialty and super-specialty hospital infrastructure through public private partnerships and/or as private hospitals

  • Trauma Care Network

    Strengthening UP's Trauma Care Network - public-private-partnerships for development of mobile application, control room and ALS Ambulances

  • Medical Colleges

    Development of medical education infrastructure through public-private-partnerships

  • Clinical Trials

    Clinical trials and research within the state employing premier medical institutions in the State AL/ML in the state

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