The country is set to get its first medical technology park to manufacture high tech medical equipment, marking a foray into a previously neglected sector.
The project is likely to reduce diagnostic expenses by a substantial margin for the patients as cost of the equipment will come down. Approximately 90 per cent of the country’s need for medical equipment is presently met through imports.
The park being planned and implemented by Trivitron, India’s largest medical technology company, will be built in Chennai. The company is also planning to set up similar parks in Kolkata, Delhi and Pune. The company is discussing technological collaborations with at least 10 international manufacturers from Europe and the US.
“For setting up manufacturing units we will enter into joint venture agreements or technology transfer deals with globally reputed manufacturers. Five such deals are in the final stages of discussion while one with Aloka Company Limited of Japan, for manufacturing high technology ultrasound equipment, has been signed,†Dr GSK Velu, managing director, Trivitron group said.
The JV will begin with an initial investment of approximately Rs 50 crore by both the companies, followed by further investments, for manufacturing ultrasound scanners and whole body colour dopplers. The company will pump in about Rs 250 crore into the medical park. “We will set up four such parks. In Kolkata the emphasis will be on anaesthetic equipment. Finally all the parks will be brought under one administration,†Dr Velu said.
Dr Anbumani Ramdoss, Union minister of health and welfare, who was present during the signing of the agreement, said: “The government will soon launch the first medical park near Chennai to enable the domestic health industry to manufacture medical equipment on a large scale. We have requested the finance and commerce ministries to provide subsidies for setting up such parks so that the domestic industry gets a boost.”
“India has the potential to become a manufacturing hub for the medical equipment segment. Aloka is looking forward to set up its base for developing embedded and application software for ultrasound systems in India,†Mr Yoshihiro Yoshikawa, Aloka president said. Aloka is also planning to use premier institutions in India as clinical research and product development sites.
Work on the medical park in Chennai, which will be built on 25 acres, is likely to start in about two weeks. “We will go for international certification for our products to give them credibility. People are looking at India as the next manufacturing hub as costs in China are rising. The next four to five years will be critical and may establish the country as a leader in medical equipment manufacturing,†Dr Velu said.
The current market is valued at about $3 billion and is likely to grow to $10 billion in five years. Indigenous manufacturing will reduce equipment costs by 30-50 per cent and the benefits will pass on to consumers, he said. Of the Rs 12,000 crore demand for medical equipment in the country last year, almost Rs 10,000 crore was met through imports. Source: thestatesman
