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Friday, June 5, 2026

Rs 500 Cr Medtech Schemes Target Import Cuts

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India imports nearly 70 percent of its medical devices, prompting the Department of Pharmaceuticals to reopen applications under a Rs 500 crore package launched in November 2024. The schemes target key components production and clinical studies to build domestic capabilities, with proposals due by January 10, 2026. Eligible manufacturers, startups, IITs, AIIMS, and NIPER can access capital subsidies and trial funding to address raw material shortages and validation gaps.

Marginal Investment Support for Components

Rs 180 crore funds 30 projects producing critical components, raw materials, and accessories for medical and in-vitro devices listed in the Global Tender Enquiry (GTE) equipment roster. A one-time capital subsidy covers 10-20 percent of project costs or Rs 10 crore maximum on reimbursement basis, targeting import-heavy inputs that leave Indian manufacturers vulnerable to supply disruptions. GTE-listed items qualify for global tender procurement by government bodies when local technology lags, making this scheme a direct bridge to self-reliance in high-value segments.

Clinical Studies Funding Accelerates Validation

The Rs 110 crore Medical Device Clinical Studies Support Scheme aids animal studies up to Rs 2.5 crore, human trials and post-market follow-ups up to Rs 5 crore, and in-vitro diagnostic evaluations up to Rs 1 crore. Established companies and startups gain financial backing to generate essential data for regulatory approval and market entry, addressing a major barrier for domestic innovation. National institutes partner with industry to validate investigational and approved devices, fostering an ecosystem where clinical evidence drives commercial viability.

Strategic Push Builds End-to-End Capabilities

Both schemes form part of DoP’s comprehensive strategy to transition India from import reliance to integrated manufacturing and R&D leadership. By subsidising upstream components and downstream validation, the package creates a virtuous cycle where local production feeds clinical trials, which in turn unlock GTE procurement and global competitiveness. Medtech enterprises must act swiftly on the January 10 deadline to secure positioning in this pivotal government-backed localisation drive.

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