Government eases rules for global sourcing of medical gear

The government has allowed global tenders to be floated for procurement of 354 medical devices after the health ministry raised concerns over the lack of domestic options, a move that could ease access to state-of-the-art medical devices which are not available in the country, said people familiar with the matter. The finance ministry issued a notification to this effect last week, they said.

The government’s public procurement policy prohibits global tendering to source goods and services up to ₹200 crore in order to promote domestic industry.

Pavan Choudary, chairman, Medical Technology Association of India (MTAI), termed the move a path-breaking effort by the government towards equitable policy making, spanning the crucial last mile which was uncovered so far.

“This exercise has levelled the playing field and its ultimate beneficiary will be the patient, who will have continued access to quality products till reliable import substitutes are available, and the nation because such a system of checks and balances will not allow sub-par product launches to tar our reputation as a reliable manufacturing destination,” he said.

The move follows a slew of meetings held at the Department of Pharmaceuticals, in which stakeholders from both Indian and overseas companies participated.

“More than 100 representatives from both global and domestic medi-tech companies participated in the meeting and presented the substantiations of their claims,” Choudary said. With this, it will become easier for healthcare institutions to procure medical devices which are either not available in the country or are not being produced here due to technological barriers. “This will open doors to various such products and will benefit the Indian patient,” said an industry executive, who did not wish to be identified.
Among the 354 medical devices for which global tenders can now be floated are digital subtraction angiography system, suture mediated vessel closure device, cardiopulmonary bypass machine, high resolution manometry system and X-Ray diffraction equipment.

According to the ministry, the relaxation will be valid till March 31, 2027, unless another order is issued in this regard. However, this easing of policy is subject to the approval of the secretary (coordination) of the finance ministry’s expenditure department.

“Ministry of health and family welfare has requested to exempt procurement of 354 medical devices. A general exemption has been granted,” said notice dated June 28. “Machine system includes spare parts and accessories which may be procured by procuring entities together or separately. The procuring entity concerned may frame detailed technical specifications for devices as per requirements.”