Growing at 35.4% CAGR, India medical device market to hit USD 124.3B

The India medical devices market is poised for significant growth, driven by factors such as the rising prevalence of health conditions, increasing hospital visits, and rapid technological innovations. With a forecasted CAGR of 35.40%, the market is expected to reach USD 124.3 billion by 2028, marking a substantial expansion from its USD 15 billion valuation in 2021. This growth trajectory is propelled by expanding government investments, the emergence of local manufacturers, and regional dynamics within India’s healthcare landscape. Let’s explore the trends shaping the India medical devices market and the opportunities it presents for stakeholders.

Driving factors

1. Government investments and initiatives: The Indian government is actively investing in healthcare infrastructure and initiatives to improve healthcare accessibility. Programs like the Production Linked Incentives (PLI) Scheme for Medical Devices 2020 aim to boost the adoption of medical devices by providing incentives to manufacturers, thereby driving market growth.
2. Emergence of local manufacturers: India is witnessing the emergence of several local medical device manufacturers, offering a wide range of products for professional and home care use. This surge in local manufacturing capabilities contributes to market expansion and promotes accessibility to affordable medical devices.
3. End-user segmentation: The hospital segment dominates the India medical devices market, fueled by infrastructure development and increasing patient footfall. However, the home care segment is expected to grow substantially, driven by the rising demand for home-based healthcare solutions.
4. Regional dynamics: South India leads the India medical devices market, supported by strong healthcare infrastructure and performance. States like Kerala, Tamil Nadu, and Telangana have emerged as frontrunners in healthcare, driving demand for medical devices in the region.

Challenges and opportunities
While the India medical devices market presents immense growth opportunities, challenges such as the negative impact of the Covid-19 pandemic on hospital visits and purchasing power need to be addressed. However, the market’s potential for growth remains significant, driven by increasing healthcare expenditure and technological advancements.

Impact of Covid-19
The Covid-19 pandemic had a mixed impact on the India medical devices market. While hospitals faced challenges due to overwhelming patient numbers and reduced purchasing power, the pandemic highlighted the importance of medical devices in addressing healthcare needs. As the country recovers from the pandemic, the demand for medical devices is expected to rebound, driving market growth.

Conclusion
The India medical devices market presents lucrative opportunities for stakeholders, driven by government initiatives, the emergence of local manufacturers, and regional healthcare dynamics. Despite challenges posed by the Covid-19 pandemic, the market’s growth potential remains strong. By leveraging emerging trends and adopting strategic initiatives, industry players can capitalize on the market’s expansion and contribute to India’s healthcare ecosystem. As the market continues to evolve, collaboration and innovation will be key drivers of success for stakeholders across the value chain. Ocean