Government Extends Medical Devices PLI Scheme Until 2035–36, Invites Fresh Applications

The Government of India has extended the Production Linked Incentive Scheme for Promoting Domestic Manufacturing of Medical Devices (PLI-MD) until 2035–36 and invited fresh applications from manufacturers. The Department of Pharmaceuticals, under the Ministry of Chemicals and Fertilizers, announced the revised scheme on November 10, 2026. Approximately ₹2,700 crore in scheme outlay will be available for implementation.

The scheme, initially launched in 2020–21, aims to strengthen domestic manufacturing of medical devices, reduce import dependence and develop indigenous supply chains. According to the government, the first phase has supported domestic production of more than 60 high-end medical devices and components, with production valued at over ₹16,000 crore. These include X-ray tubes and detectors, 1.5T MRI systems, linear accelerators (LINAC), CT scanners, mammography machines, cardiac and orthopaedic implants, and dialysers.

Under the revised scheme, manufacturers will receive three years to establish production facilities across four target segments. These cover medical consumables, disposables and implants; critical components; high-end devices with limited domestic manufacturing; and high-end devices that are currently only assembled in India. The proposed incentive rates will taper over the scheme period, averaging approximately 5% for the first segment, 9% for the second and third segments, and 6% for the fourth segment.

The revised guidelines also simplify eligibility and incentive-claim procedures. The minimum sales threshold requirement for claiming incentives has been discontinued, while the minimum investment requirement has been reduced. Applicants can submit multiple applications across one or more target segments, and the application window will remain continuously open for an extended period.

The second phase, PLI-MD 2.0, will place particular emphasis on manufacturing critical components and strengthening domestic value chains. It also aims to promote the production of advanced medical technologies such as 3T MRI systems, PET-CT scanners, ultrasound probes and consoles, and high-throughput in-vitro diagnostic (IVD) analysers, which are currently not manufactured domestically.

The government expects the scheme to attract investment, generate employment, improve the quality of domestically manufactured medical devices and enhance India's competitiveness in the global medical technology sector

Source: https://news.docthub.com/government-extends-medical-devices-pli-scheme-until-2035-36-invites-fresh-applications-N2706