New industry report on India medical technology market status and prospects [2023-2032] has been released. It includes information about the global market, such as development trends, competitive landscape analysis, key regions, and their development status. The report also examines advanced approaches and plans, as well as manufacturing processes and cost structures. It analyzes import/export utilities, market figures, cost, price, revenue, and gross productivity of the market.
It is estimated to reach INR 2,177.91 Billion by 2026, expanding at a compound annual growth rate (CAGR) of 23.87% during the 2021-2026 period.
Major players in the market include Opto Circuits Limited, Philips India Limited, Siemens Limited, TTK Healthcare Limited, and Appasamy Associates.
Medical technology involves the application of science to develop cure-based solutions. The medical technology market comprises players supplying health devices and instruments, diagnostic equipment and reagents, bionics, implants, disposables, and consumables to the healthcare providers. India is a profitable destination to major global players, owing to increase in income levels, private sector participation in healthcare, an aging population, and growth of medical tourism. It is at a nascent stage and fragmented, mostly depending on imports, with limited capabilities for indigenous manufacturing. The rapidly evolving technology landscape, conducive financial mechanism, and governmental thrust through the Make in India initiatives are projected to expedite the business in the coming years.
Impact of Covid-19
In the wake of the pandemic, the market witnessed a supply-demand gap. While the demand for personal protective equipment rose steeply, the supply side was massively constrained due to lockdown measures, undertaken in 2020. The revenue fell sharply in the first quarter of FY 2021 on account of reduced sales volume of non-Covid-19 items. Firms adopted various strategies to boost production capacities, collect payment from creditors, and address the changes in demand to maintain business.
Market segment insights
The market is segmented into instruments and appliances, diagnostic imaging, consumables and implants, and patient aids and other technologies. Instruments and appliances segment dominated the market in 2020, accounting for 33.72% of the total revenue in 2020. It is estimated that patient aids and other technologies will be the fastest-growing segment during the forecast period.
Key growth drivers
An increase in the demand for new medical applications has led to the growth of the medical technology market. For instance, improved surgical techniques and new implant materials for joint replacement (e.g., hybrid replacement method used in hip replacement surgery) are driving the growth of the orthopaedic segment
In India, non-communicable diseases (NCDs) are a major health problem. For instance, cancer, obesity, and diabetes are on the rise because of sedentary lifestyle and high stress levels. By 2025, NCDs would account for 75% of the disease burden. The significant increase in non-communicable diseases is driving demand for medical technology market.
Key deterrents to the growth of the market
Shortage of healthcare professionals and poor infrastructure are the major constraints. According to the World Bank, as of 2021, India has only 0.66 physicians per 1,000 patients. India’s bed density stands at 1.1 per 1,000 people, considerably lower than the World Health Organization (WHO) standards of 3.5 beds per 1,000 person.
On June 8th, 2022, the Bureau of Economic Analysis and U.S. Census Bureau released a report detailing the recovery of the U.S. market and international trade. The report highlighted the significant growth in exports and imports, with exports reaching $300 billion in April 2022, an increase of $13.4 billion, and imports amounting to $294.5 billion, increasing by $17.4 billion. Despite the impact of Covid-19 on the global economy, the U.S. market is showing signs of recovery.
However, the Healthcare/ICT/Chemical industries are still feeling the effects of the pandemic, which is creating a large market for India Medical Technology. As the recovery of the U.S. market continues, there will be a direct impact on these industries, and the demand for India Medical Technology is likely to increase. The report highlights the need for businesses to stay informed about market trends and adjust their strategies accordingly to take advantage of emerging opportunities in this evolving landscape.
Asia-Pacific market is forecast to emerge as rapidly growing region in global market, owing to governments’ initiatives towards increasing urbanization and growing population leading to increasing demand of energy-based products and services. Also, North America is forecast to grow rapidly because of high energy consumption in the region and technological advancements across the sector. Energy consumption has been increasing in the region, mainly in the US; the primary energy consumption is segmented on the basis of nuclear electric power, petroleum, coal, renewable energy, and natural gas. The petroleum and natural gas segment is dominating the overall sector. In the mix of energy sources, petroleum accounts for around 35% of the overall consumption, whereas natural gas accounts for 34%.
In-depth analysis of the Russia-Ukraine war impact:
Global industries were impacted by the Russia-Ukraine War, which started in February 2022. There have been widespread announcements of strict travel restrictions over Ukrainian airspace. The market in 2022 has been damaged by the Russia-Ukraine War.
The conflict between Russia and Ukraine raises defense spending and fortifies NATO nations’ armed forces. Due to Russia’s invasion, the majority of European nations have raised their defense budget. Germany earmarked USD 109 billion, which is more than the whole cost of the military in 2021, increasing its defense spending above 2% of GDP. Ocean