How is the Centre Inviting Proposals for Rs 500 Crore Scheme to Reduce Medical Device Imports?
Synopsis
The Central Government has initiated a call for proposals under two schemes aimed at reducing India's reliance on imported medical devices. With a significant budget allocation, the initiative is set to bolster domestic manufacturing and support clinical studies, paving the way for innovation in the medtech sector.
Key Takeaways
Government initiative to reduce medical device imports.
Focus on domestic manufacturing and innovation.
Financial support for clinical studies and research.
Encouragement for local production of essential components.
Deadline for proposals is January 10, 2026.
New Delhi, Jan 4 (NationPress) The Central Government has called for proposals under two minor investment sub-schemes aimed at diminishing India's substantial reliance on imported medical devices and fostering clinical studies within the medtech industry, more than a year after these schemes were initially unveiled.
Currently, India imports approximately 70 percent of its medical device needs. To tackle this issue, the Department of Pharmaceuticals launched a Rs 500 crore support initiative in November 2024, targeting the enhancement of domestic manufacturing and innovation in the medical device sector.
A recent announcement indicates that eligible applicants must submit their proposals by January 10, 2026.
Under the first sub-scheme, the government has allocated Rs 180 crore to assist 30 applicants via minor investment support.
This initiative aims to promote domestic production of critical components and raw materials for medical device manufacturing, thereby reducing import dependency.
At present, Indian manufacturers heavily rely on imported raw materials and components, leading to vulnerable supply chains and inflated costs.
To mitigate this, the scheme provides a one-time capital subsidy ranging from 10 to 20 percent of the project cost, capped at Rs 10 crore.
Support will be granted on a reimbursement basis. The scheme encompasses projects related to the production of essential components, raw materials, accessories, and finished medical and in-vitro devices listed under the Global Tender Enquiry.
This list features advanced medical equipment that government bodies are permitted to procure through global tenders when such technology is not readily available in India.
The second sub-scheme is dedicated to supporting clinical studies for medical devices.
Dubbed the Medical Device Clinical Studies Support Scheme, it boasts a total budget of Rs 110 crore and aims to assist both established firms and start-ups in generating clinical evidence for their products.
Under this scheme, manufacturers can receive financial backing of up to Rs 2.5 crore for animal studies and up to Rs 5 crore for clinical investigations and post-market clinical follow-up studies on approved devices.
Moreover, support of up to Rs 1 crore is available for clinical performance evaluation of new in-vitro diagnostic products.
Point of View
It is imperative to recognize the government's proactive measures in addressing India's critical dependency on imported medical devices. This initiative not only supports local manufacturing but also fosters innovation in clinical studies, ensuring that India becomes self-reliant in the medtech sector. Such steps are essential for the nation's healthcare advancement.
NationPress
9 May 2026
Frequently Asked Questions
What is the main objective of the Rs 500 crore scheme?
The primary goal of the scheme is to reduce India's reliance on imported medical devices by promoting domestic manufacturing and supporting clinical studies in the medtech sector.
What is the deadline for submitting proposals?
Eligible applicants must submit their proposals by January 10, 2026.
How much financial support can manufacturers receive?
Manufacturers can receive financial support ranging from Rs 2.5 crore for animal studies to Rs 5 crore for clinical investigations.
What is the significance of the Global Tender Enquiry list?
The Global Tender Enquiry list includes advanced medical equipment that government bodies can procure through global tenders when such technology is not readily available in India.
How will the funding be provided?
The funding will be provided on a reimbursement basis, with a one-time capital subsidy ranging from 10 to 20 percent of the project cost.
