Economy

Finmin exempts 128 medical devices, IVD from global tender restriction

BL New Delhi Bureau | | Updated on: Jan 07, 2022
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Finance Ministry relaxes norms that stipulate that no Global Tender Enquiry will be invited for tenders up to ₹200 crore

In order to help the Health Ministry in fight against the pandemic, Finance Ministry has allowed sourcing 128 types of medical devices and In vitro diagnostics (IVD) products from global manufacturers, even if tender size is less than ₹ 200 crore.

These devices include flow track cardiac output monitoring, auto PAP cervical cancer screening system, visual filed analyser, surgical operating microscope, Dexa Scan, transcranial doppler, stroboscope, optical biometer, portable mobile endoscopy unit, sweat collection and chloride estimation, rapid blood/fluid flow warmer, beside others.

In the year 2020, in an effort to boost local manufacturing, the government took a policy decision to stipulate no Global Tender Enquiry (GTR) will be invited for tenders up to ₹ 200 crore. Accordingly, amendment was made in General Financial Rules (GFR). However, it was also said that relaxation can be given in special cases.

Valid till March 31

Health Ministry made a reference for 128 types of medical devices and IVDs to be exempted from GTE condition. It argued that there are no domestic manufacturers available at this moment. After examining the matter, Expenditure Department said, “The exemption will be valid for all tenders issued for such items till March 31, 2023.”

Further, it urged Health Ministry to review domestic availability of these items at the end of 2022, keeping in view the Production Linked Incentive Scheme (PLI) launched by Department of Pharmaceuticals in Medical Devices and other relevant factors.

Department of Pharmaceuticals launched PLI Scheme for ‘Promotion of Domestic Manufacturing of Medical Devices’to ensure a level playing field for the domestic manufacturers of medical deviceswith a total financial outlay of Rs.3,420 cr. for the period 2020-21 to 2027-28.

Published on January 07, 2022

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