Pharma Boom: In A Historic First India Emerges As A Net Exporter Of Medical Consumables, Disposables

India has overcome a longstanding trend to emerge as a net exporter of medical consumables and disposables, marking a historic first, according to a report by The Economic Times.

Previously, the Indian market for medical consumables, including needles and catheters, was largely dominated by foreign products.

The Union Pharma Secretary Arunish Chawla announced on Tuesday (8 May) that in the fiscal year 2022-23, India exported medical consumables and disposables worth $1.6 billion, surpassing imports which stood at around $1.1 billion.

Exports registered a 16 per cent increase compared to the previous fiscal year, while imports saw a decline of 33 per cent.

This comes after the pharmaceutical sector of the country experienced a notable increase in exports, growing by 9.67 per cent year-on-year to reach $27.9 billion in the 2023-24 fiscal year.

In response to the COVID-19 outbreak, the government has intensified efforts to reduce reliance on imports for essential pharmaceutical products and devices, particularly after facing restrictions on supply from China, ranging from basic chemicals to PPEs and testing kits.

While India's dominance in low-cost generic medicines is well-established, the country has historically relied heavily on imports for medical devices. Currently, as much as 70 per cent of the country's medical devices are imported, with China being a major source.

The government has categorised the medical device sector into various categories, including cancer therapy, imaging, critical care, assistive medical devices, body implants, surgical instruments, hospital equipment, consumables and disposables, and IVD instruments and reagents.

The pharmaceutical secretary mentioned ongoing discussions to identify key medical devices within each category, analyse their import-export patterns, evaluate duty structures, and assess their impact across the value chain.

Quoting Himanshu Baid, chairman of CII's national medical technology forum, the report stated, "During Covid, demand for consumables and disposables increased tremendously, prompting the industry to ramp up its manufacturing capacity."