Medical Devices PLI Scheme Extended to 2035-36 as Centre Eases Investment Rules

The government's push to expand medical device manufacturing in India is getting a longer runway. The Department of Pharmaceuticals has extended the PLI scheme for the sector by eight years, taking it through 2035-36. 

Fresh applications will be invited under the revised scheme. Around ₹2,700 crore available under the existing outlay will be used for the extended programme. 

Rules Relaxed for New Applicants 

The revised framework changes some of the conditions that applied during the first phase. 

The minimum sales threshold for claiming incentives has been removed. The earlier minimum investment requirement of ₹180 crore has also been reduced. Companies will now get three years to set up manufacturing facilities. 

Four Areas Under the Revised Scheme 

The scheme covers medical consumables, disposables and implants under TS1, while TS2 includes critical components. 

TS3 focuses on high-end devices where domestic manufacturing is still at an early stage. TS4 covers high-end devices that are currently assembled in India. The Department of Pharmaceuticals has said value chain integration will be given priority in these two segments. 

Incentives Linked to Manufacturing Segments 

The revised scheme replaces the earlier flat incentive structure with different rates for different categories. 

TS1 will receive a 5% incentive. The rate for TS2 and TS3 is 9%, while TS4 carries a 6% incentive. 

Focus on High-End Equipment 

The government is looking to encourage manufacturing of advanced equipment that is not currently produced in India. This includes 3T MRI machines, PET-CT scanners, ultrasound consoles, and high-throughput IVD analysers. 

The earlier scheme has already generated production worth more than ₹16,000 crore, according to the Department of Pharmaceuticals. It has also supported domestic manufacturing of over 60 high-end devices and components. 

Read More: Indian Railways Generates ₹628.49 Crore From Scrap Disposal During Special Campaign 6! 

Conclusion 

The extended scheme gives medical device manufacturers more time and greater flexibility while widening the focus towards deeper domestic production of advanced medical equipment in India. 

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