Centre plans to set up medical device testing laboratory in Gujarat

Lines up slew of initiatives to boost pharma machinery, medical devices sectors

In an attempt to boost the medical device and pharma machinery sector, which has been identified by the Union ministry of commerce as a nice sector, the central government has undertaken a slew of initiatives. These include setting up a medical device testing laboratory near Ahmedabad, opening at least five incubation centers across the country for research and development (R&D), apart from financial assistance.

In a stakeholders’ meeting held here in Ahmedabad, officials from the Union commerce ministry said that there were plans to set up at least five incubation centers across the country, each at a cost of around Rs 100 crore that would help R&D activities.

Sudhanshu Pandey, joint secretary, ministry of commerce and industry, government of India said, “Such incubation centers would help scientists, engineers, and entrepreneurs who can pay a certain fee and use the center’s infrastructure. This could be a huge boost to R&D and product development, as there would be no need to set up a full-fledged R&D set up by each company.”

This apart, there are plans to set up testing laboratories across the country to test medical devices and hence ease the process of certification and, in turn, boost export prospects for Indian players.

Ahmedabad, which is one of the hubs for medical devices and pharma machinery manufacturing in the country, is likely to get a testing laboratory.

Ravi Capoor, joint secretary, ministry of commerce and industry, government of India, said that such laboratories can come up at multiple locations to help the local industry.

As for Ahmedabad, the local Food and Drugs Control Administration (FDCA) already has a set up ready at Patan. “We have a testing laboratory ready at Patan where we are already testing some medical devices and are also planning to start food testing shortly. It has come up with an investment of around Rs 55 crore. A separate wing to test and certify medical devices can be set up easily in the premises with support from the Centre,” explained H G Koshia, commissioner of the Gujarat FDCA.

Meanwhile, the ministry of commerce is planning to set up a panel with representations from different streams like medical devices, pharmaceutical machinery etc under EEPC India (formerly the Engineering Export Promotion Council).

Capoor said that each group will thus get a platform to represent their demands, and eventually the wishlist would be taken up by the ministry for redressal.

India’s $3.5 billion market for medical devices and equipment is dominated by imports which account for 65 per cent share of the medical devices.

Among the major suppliers of medical devices, US, Germany and Japan are on top claiming 85% of the total imports under this head. It also noted that when it comes to the pharma machinery sector, of the Rs 6,000 crore worth of production, exports account for Rs 1,800 crore.

While the industry is growing at a rapid pace of 15-20%, there is a big scope for improving on exports of the pharma machinery and engineering skills just as the country has built a reputation of being a major supplier of the generic pharmaceuticals," said B Sarkar, executive director and secretary, EEPC India.

He added, "We are facing a peculiar problem when it comes to trade with our neighbouring countries. While imports of pharmaceutical machinery are being dumped into India from China, we are confronted with an embargo on our machinery exports to Pakistan. We have taken up these issues with the government."