Growth
Dynamics For Indian Medical Device Industry
A report on the “Roadmap for the Medical Device Industry”
in Mexico by “ProMexico” (
www.promexico.gob.mx
) has identified “Supplier Development” as major focus
area and suggested the following :
“Supplier Development must take into account the
significant gap in the sector’s supply chain, which will
not have capabilities from other sector to convert and
that start by creating national companies in these niches
or attracting companies from other regions and developing
strategic alliances with Mexican companies. The TRM work
group identified the following main projects :
• Creation of a supplier integration program.
• Consolidation of a National Supplier Development Council
for the Health Sector.
• Promotion of sector events that allow the presentation
of structural projects to opinion leaders.
• Replication of the R&D Investment Program by bid
purchases model (YSSEMYM).
• Implementation of the Supplier Development Program in
companies that are affiliated to the chambers and with
government tractor companies.
• Promotion of the national development of high specialty
medical devices.
Role and Importance Of Supply Chain ( Raw Materials /
Components / Semi finished Products
etc. including services) For the Growth Of Indian Medical
Device Industry.
Medical Plastics Data Service interacted with the leaders
of the Indian Medical Device Industry and compiled their
opinions on “Indian Medical Device Industry 360 degree
View”. The leaders opined on the role and importance of
supply chain as follows (Detailed report attached.) :
“A strong supply chain supports the Medical Device
Industry to improve Global Competitiveness. As shared by
Mr Kishor Khanna, A positive
approach will be collaboration with the industry and
academia to develop indigenous manufacturing base of all
possible materials required by the industry. Not only
input material but also the availability of high tech
machinery essential for moulding, extrusion and assembly
is not at par with other countries. A synergetic approach
is required where the industry, academia and government
work towards developing the technology base in India.”
As per Mr C. Balagopal, if effective steps are taken for
various issues discussed earlier in this debate, it will
lead to the development of Indian Medical Device Industry.
It will also create the necessary conditions for
development all along the supply chain starting from basic
raw materials, intermediate components, sub contracting/
vendoring, outsourcing of processes like sterilization,
testing, warehousing, transportation etc.
Supporting the need for strong supply chain, Mr Ajay Pitre
cited the case of aerospace industry. The similarity as
per him is because of both have reliability requirements
of highest order. He further says that , “The other area
where specialized supply chains have contributed to the
device industry has been in the field of packaging.
Validation requirements for medical device sterile
packaging are extremely stringent and the advancements in
packaging materials and conversion technologies made by
service providers play a key role in enabling the device
industry. He also feels that, “Government needs to
financially support service providers in these supply
chain areas who could form a supplier backbone.”
Emphasizing on warehousing requirements, Mr Himanshu Baid
mentioned that, “higher Volume products should be
centralized so that they can be easily distributed to
various parts of the country. Warehouses with proper
storage facilities should be created in each District for
storage of products to ensure efficient distribution
to smaller healthcare centres. Al so this will
ensure shorter delivery times. Public Private Partnerships
will definitely make this more affordable.”
Share of Medical Device Companies involved in one or more
phases of Medical Device manufacturing process : Global
and Indian Scenario
As per a 2014 report on “ Production , Research And
Innovation In The Medical Device Industry in Italy”
prepared by “Assobiomedica Research Centre ( CSA )”
- “56% of companies are involved in distribution, 40% in
production and 4% in services” Overall, there are 243
companies that target their activity on one or
more phases of the medical device manufacturing
process: 10% are involved in design or prototyping,70%
manufacture components or semi-finished products, 32%
manufacture accessories or finished
products and 20% intervene in the final phases of the
manufacturing process and are involved in
assembly, sterilisation, labelling or logistics.”
New medical devices procurement guidelines propose to
make 20-50% of components in India
NEW DELHI : The Department of Pharmaceuticals has proposed
that domestically sourced components have to contribute to
25-50% of the cost of medical devices procured
by the government, depending on the category of the
device. A draft of the proposed guidelines, created to
give preference to products made in India, has sought
comments from all stakeholders by April 5.
At the same time, the proposed guidelines lack measures to
help the local industry grow and imposes conditions that
may hurt the quality of medical devices procured through
these tenders, claimed a lobby group of domestic firms in
the sector.
The guidelines also may not be possible to implement for
highend, critical products for which there is currently no
ecosystem available to manufacture locally, according to
two lobby groups representing several multinational
medical device firms.
Domestically sourced components have to contribute to at
least half the cost of medical disposables and consumables
and 40% of the cost of implants in order for the device to
be eligible for procurement, according to DoP’s draft.
Local content should contribute to 25% of the cost of
medical electronics, hospital equipment, surgical
instruments and diagnostic reagents/in-vitro diagnostics,
according to it.
DoP has prescribed the requirements based on its current
understanding of the medical devices market in India,
according to the draft. At the same time, it also said it
is in the process of collecting “accurate and reliable”
data on criteria like the total capacity and production of
various categories of devices in the country.
Purchase preference shall be given to local suppliers by
all procuring entities, stated the draft.
https://economictimes.indiatimes.com/industry/healthcare/biotech/pharmaceuticals/new-medical-devices-procurementguidelines-propose-to-make-20-50-of-components-in-ndia/articleshow/63372115.cms
|