The Indian MedTech industry is witnessing transformative growth, bolstered by strategic government initiatives to strengthen domestic manufacturing. A cornerstone of this momentum is the production-linked incentive (PLI) scheme, designed to advance local production and position India as a leading manufacturing powerhouse.
What is the PLI Scheme?
The Production-Linked Incentive (PLI) scheme, introduced by the Indian government, aims to catalyze manufacturing across high-impact sectors, including medical devices. Indian medical device manufacturers face significant cost challenges compared to competing economies, due to factors like limited infrastructure, domestic supply chain gaps, high financing costs, and reduced investments in research and development (R&D). To overcome these obstacles, the PLI scheme provides financial incentives to boost domestic manufacturing, making India an attractive destination for substantial investments in the MedTech sector.
Under the PLI framework, financial incentives are granted to manufacturers who meet designated production targets and commit to incremental investments in four target segments: cancer care, radiology/imaging, anesthetics/cardio-respiratory/renal care, and all types of implants. By supporting domestic production and reducing import dependency, the PLI scheme aids India’s journey towards becoming a self-reliant, quality-driven manufacturing hub.
Why the PLI Scheme is Key for MedTech Manufacturing in India
The PLI scheme goes beyond being just an incentive program; it’s a strategic tool to build a stronger, more resilient MedTech industry in India. By encouraging local manufacturing, the scheme not only addresses India’s healthcare needs but also enhances its position as a global MedTech player. Notable benefits include:
- Incentivizing Local Production: The PLI scheme rewards manufacturers who achieve specific production milestones and commit to incremental investments, encouraging the expansion of domestic operations.
- Driving Quality and Innovation: With financial backing, companies can invest in advanced technology, R&D, and infrastructure, which are essential to meeting international quality standards.
- Job Creation and Skill Development: As local production scales, the scheme fuels employment and skill enhancement, establishing India as a talent-rich manufacturing hub.
How Syrma Johari MedTech Aligns with the PLI Initiative
At Syrma Johari MedTech (a Syrma SGS company), we serve as a dedicated Make-in-India medical device contract manufacturing partner for MedTech companies worldwide. Leveraging the PLI incentive, we are positioned to expand our capabilities and strengthen our commitment to delivering high-quality, locally manufactured products across two key segments:
- Cancer care/radiotherapy devices
- Anesthetics, cardio-respiratory devices (including cardio-respiratory catheters), and renal care devices
Here’s how we align with the PLI initiative to bring substantial value to our clients:
- Cost-efficient, Comprehensive Solutions: The PLI incentive allows us to reduce production costs, offering our customers more competitive pricing. With a one-stop-service model—from design-led contract manufacturing to quality assurance and regulatory affairs—we provide total product lifecycle support, reducing lead times and ensuring seamless production.
- R&D Excellence: Our PLI incentives enable us to continually upgrade our capabilities, supporting precision production that meets global standards. With added R&D funding, we help clients bring innovative solutions to market, aligned with stringent quality and regulatory requirements.
- Scalable, Streamlined Manufacturing: Our PLI-driven production capacity, bolstered by 13 advanced facilities in India, allows us scale to meet high-volume demands while ensuring faster, dependable access to our services. Investments in technology enhance the speed, flexibility, and customization we offer, delivering tailored, high-quality solutions.
- Accelerated Lead Times and Market Entry: The PLI incentives strengthen our local supply chain, reducing import dependency and streamlining production cycles. This translates to reduced lead times and faster market entry for our clients.
- Long-Term Reliability and Strategic Partnership: Our PLI-backed local supply chain minimizes the risk of global disruptions, ensuring clients enjoy a secure and resilient supply of high-quality products.
Looking Ahead: The Future of MedTech Manufacturing
The PLI scheme marks a pivotal shift in the manufacturing landscape in India, particularly within the MedTech sector. At Syrma Johari MedTech, we are proud to be part of this journey, utilizing PLI benefits to expand our Make in India manufacturing capabilities and serve as a trusted partner for the world’s top of the line medical device companies. Together, we’re building a future where the highest quality medical devices are manufactured in India, for the world!