by The Welthi Bureau | 12 OCT 2017
Association of Indian Medical Device Industry (AiMeD) has announced today that the price cap on medical devices such as knee implants and heart stents is helping the domestic medical device market grow manifold.
Hailing the price control measures, Mr Rajiv Nath, Forum Coordinator, AiMeD said “In the last six months, we have seen a positive trend towards increased sales for domestic manufacturers. This is more so in Tier 2 & Tier 3 towns due to higher affordable access post reduction of prices. We estimate that this trend shall continue and boost the idea for manufacturing and the Indian manufacturers will grab 60% of the market share by next year.”
Mr Rajiv Nath said “Heavy lobbying is going on and pressure has increased on India to revise its stance on price caps for medical devices and not to extend it to other devices, but India should do what's good for India and give advantage mainly to the common citizens who now have access to the best products at the most affordable prices and to domestic manufacturers.”
The lobbying against Price Capping is being done by MNC importers with overseas factories claiming to be Indian Industry when none of these makes stents in India. We await the announcements of price cap on other devices notified as Drugs e.g. heart valves, Intra Ocular Lens and Syringes and Infusion Products.
NPPA had exercised their powers to stop total withdrawal to avoid market shortages of dominant players. From AiMeD’s viewpoint it need not do so and after 6 months moratorium any importer can leave the market if he does not want to play it - but here it's not about an importer abandoning the market, it's actually more about market rationalisation while wanting to make the Indian Government look bad. Seemingly DoP has now relented and permitted withdrawal to one brand of Abbot, over riding the NPPA order which wanted supplies to be available and maintained for a year.
“We expected price cap to help reduce the excessive number of brands in market to 2-3 per manufacturer/ market player. Abbot had 6 brands. One of these innovative devices had been withdrawn due to patient safety concerns. Drug-eluting stent Xience Alpine is the second one they want to withdraw - why expend marketing energies on brand variants for same product with frivolous differentiators? Stated Mr Nath.
Most of the "latest generation" medical devices come with minor improvements and are more of marketing exercises. They were earlier charging huge amounts without offering any significant improvements in performance," he says.
"Over the last two decades, the hospitals and doctors created an image that the multi-national products are better in terms of their efficacy and safety. Most of this efficacy was 'perceived' and has not been clinically proven. And that's why the price cap was set on various medical devices.
One of the real eye-openers for the Hospitals was when American companies decided to withdraw their “New generation Drug Eluting Stents” from the market. The companies which the Hospitals supported for the last 20-25 years wanted to leave them high and dry for the want of more profits. The Indian manufacturers came as saviors and offered their best technologies within the Ceiling prices. The Domestic manufacturers increased their production to meet the demand of the Hospitals.
Other imported and Indian players will also reduce offerings of these variants too as the market starts correcting itself.
Abbot won't leave the market totally. They still make money on the lower label priced products. In Germany they are reported to sell these at less than 110 Euros and also lower than India in Turkey at approx Rs, 12,500.
On the other hand the Indian manufacturers are only too happy to grab more market share. From 40% market share the domestic manufacturers expect to exceed 50% market share this year and 60% by next year.
We would like to sincerely thank the Government for this huge step towards making these essential products available across the country at affordable prices to the advantage of Consumers and simultaneously boosting the idea of domestic manufacturing, increasing the market size and also for providing a level playing field for the Indian Manufacturers.” Said Mr Rajiv Nath, AiMeD.
Low blood sugar levels in diabetes can lead to ...
Music an exercise for the aging brain
Apollo Hospitals launches dedicated elderly care ...
Infant food: First 1000 days of baby’s life ...
A Link Between Exercising and Remembering : a ...
Safe abortion, declined maternal mortality
Do's and Don'ts For Heart And Diabetic Patients ...
Sparsh Hospice provides Palliative Care
Hand washing to good health
Keep your children Safe this Diwali
Are we ignoring the impact of arthritis on ...
Tobacco related deaths on a rise in India
Keep your bones and joints healthy and strong