Introduction to GeM Portal
The Government eMarketplace (GeM Portal), under the Commerce Ministry, serves as a significant public procurement platform. Recently, it established a groundbreaking memorandum of understanding (MoU) with the Association of Indian Manufacturers of Medical Devices (AiMeD).
MoU Signing and Its Implications
This MoU marks a pivotal step in transforming healthcare procurement in India. It enables over 300 medical device manufacturers, who are members of AiMeD, to sell their products directly to the government through the GeM portal. This integration simplifies the procurement process and enhances transparency and efficiency in government activities.
Onboarding Process and Market Linkages
The onboarding of these manufacturers creates direct market linkages between the manufacturers and government buyers. This eliminates intermediaries and simplifies the procurement process, aiming to increase the efficiency of the public procurement system.
Capacity Building and Quality Focus
Capacity-building initiatives are a key aspect of this collaboration. Training programs and workshops will be conducted to familiarize stakeholders with GeM operations. Moreover, there is a strong emphasis on procuring high-quality medical devices, ensuring that healthcare institutions across India receive top-notch products.
The Indian Medical Devices Market Overview
The Indian medical device market is experiencing rapid growth, currently valued at approximately $11 billion. With an expected growth to $50 billion by 2025, it reflects a robust compound annual growth rate of 15% over the past few years. This market includes various segments like consumables, diagnostic imaging, dental products, orthopaedics, and patient aids.
Domestic Manufacturers’ Dominance
Around 65% of the market is dominated by 750-800 domestic manufacturers. This highlights the significant role of local manufacturers in the Indian medical device sector.
National Policies Supporting the Sector
The Indian government has approved the National Medical Devices Policy, aiming to secure a 10-12% share in the global market over the next 25 years. Additionally, a National Policy on Research and Development in the Pharma-MedTech sector has been launched to foster innovation and skill development.
Sectoral Growth and Government Vision
The sector’s consistent growth and the government’s vision to become a global leader in medical device manufacturing underline a commitment to self-reliance and positioning India as a major hub for high-quality medical devices.
This strategic partnership between GeM and AiMeD marks a significant advancement in the public procurement domain, with potential to reshape the landscape of healthcare procurement and manufacturing in India.