Budget 2015: Medical device makers seek duty sops

The Economic Times reported that the Association of Indian Medical Device Industry (AIMED) are seeking import duty concessions and a blanket ban on 100 percent foreign direct investment (FDI) in brown-field projects during the next budget.

"To enable the nascent Indian medical devices industry to survive...India needs to consider rationalisation of import duties to be zero per cent for natural resource, 2.5-5 per cent for basic raw materials and packaging materials, 5-7.5 per cent for components and consumables and at least 10 percent for finished medical devices or consumer goods to encourage manufacturing of components and complete devices,” the group said.

The industry group also sought re-imposition of special additional duty (SAD) of 4 percent on import of medical devices.

"Export subsidy should be given where fiscal incentives are robust enough to match our competitors. China gives 17 per cent export subsidy thereby ensuring a healthy minimum margin of 10 per cent to its exporters. We have no such matching policy," the group remarked.

Source