Regulating Indian MedTech sector: A ‘device’ for promoting investments?

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Fourth largest in Asia and among the top 20 in the world, the Indian MedTech (short for ‘medical technology’) sector holds the potential to attain a market size of USD 50 billion by 2025. Comprising of healthcare products such as medical equipment, in vitro diagnostics and life science tools, a whopping 80% of the market consists of imports, making the domestic manufacturing of medical devices highly promising for investors. This is further supported by the Indian foreign direct investment (“FDI”) regime, which allows up to 100% FDI under the automatic route in the manufacture of medical devices.

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