Govt Extends PLI Scheme for Medical Devices to 2035-36; Fresh Applications Invited
Norms for Production Linked Incentive (PLI) Scheme for Promoting Domestic Manufacturing of Medical Devices (PLI-MD) relaxed to enhance Ease of Doing Business
UdaipurTimes, Nov 11, 2026 - The Government of India has invited fresh applications under the Production Linked Incentive (PLI) Scheme for Promoting Domestic Manufacturing of Medical Devices (PLI-MD). This scheme has now been extended up to 2035–36. Approximately Rs 2700 crore outlay available under the scheme will be utilised for the purpose. The applicants can submit applications through an online portal, which would be operational in the next 10 days.
To enhance Ease of Doing Business (EoDB), the scheme guidelines have been made easier and investor friendly. The applicants shall be free to submit any number of applications in one or more TS and the application window shall remain continuously open over a long period of time.
On the basis of learnings in the first phase of the scheme, a number of simplifications have been done in the eligibility conditions as well as procedure for claiming incentive by the applicants.
The applicants shall be allowed three years for setting up their manufacturing facilities in any of the four Target Segments (TS) viz. medical consumables, disposables and implants (TS 1), critical components (TS2), high-end medical devices which are presently at a nascent stage of domestic manufacturing (TS3), and high-end medical devices that are presently only assembled in the country (TS4).
The tapering incentive rate would be averaging ~5% for TS1, ~9% for TS2 & TS3, and 6% for TS4.
In the Consumables and Disposables segment, the focus shall be on creating manufacturing scale and world class quality. In the TS 3 & 4, priority shall be given for value chain integration, so that there is an overall increase in competitiveness and quality of Made in India devices. The focus on critical component manufacturing under the Scheme, would help achieve value chain integration and also give a boost to the MSME sector.
Under the scheme, minimum sales threshold requirement to claim incentive has been discontinued, and minimum investment requirement has also been trimmed.
Launched in 2020-21, the PLI-MD scheme has led to domestic manufacturing of more than 60 high-end medical devices and components, including X-ray tubes and detectors, 1.5T MRI, LINAC, CT scanners, mammography machines, Cathlab, orthopaedic and cardiac implants, dialysers etc., till date. It has resulted in production valued at more than Rs 16,000 crore.
